Has anyone thoroughly tested ACD?

Discussion in 'Strategy Development' started by NTB, Jan 22, 2006.

  1. NTB


    Has anyone rigourously and statistically tested Fisher's ACD method? Does it have a real edge. Under what type of market conditions is it optimal? Looking for feedback from someone that has looked into it extensively. Thanks.
  2. Schaefer


    Hi, ACD method has been discussed and tested thoroughly by some traders on this board. I don't recall the names off hand, but just do a search and you'll find it.
  3. I've personally tested variations on almost every market possible. I used to work for Mark.

    Who else on here knows him?

    In some markets the strategy, or variations of it, seem to have worked very very well.
  4. NTB


    Thanks for your reply. Under what variables does the strategy seem to work best? My guess is high volume, high volatility products. Do you think that one could create a filter to scan world markets for an appropriate level of volume and volatility and then apply ACD with success? I'm curious about this. Thanks.
  5. It sounds like you're trying to draw a correlation between trends and high volume and/or volatility. There doesn't really exist a correlation. I guess volatility is opposite of trend right.

    The ACD methodology is really only a way to manage risk once you're committed to trading a market. It really lacks as far as an indicator.

    To scan for volume of volatility, you need Tradestation or a similar product.

    How do you know of Mark and the ACD?
  6. NTB


    Mark and ACD are fairly famous and well known in the industry. I just know of them through reputation. A friend adapted a system of ACD and wanted me to fund it. Just doing my research. Thanks.
  7. Let us know if you decide to trade it.