Is trend following limited to buying new highs and selling new lows?

Discussion in 'Trading' started by OPC, Jul 12, 2003.

  1. Upon downloading and studying the Original Turtle Trading Rules from the originalturtles.org site I realize that the system simply represents a series of solid money and risk managment rules. Nothing esoteric or novel about it, simply a codeified version of what many great traders/investors/money managers have always said.
     
    #41     Jul 13, 2003
  2. Bolts

    Bolts

    Somewhat novel that they don't use price targets, though, isn't it? I find that very appealing myself. I never liked the idea of targets, the only rationale for them seems to be psychological as far as I can tell. Let your winners run.
     
    #42     Jul 13, 2003
  3. Price targets require prediction (also a lot of wishful thinking), so doing away with them provides a level of freedom. Cutting winners short damages the account as much as not cutting losses short - over the long run.
     
    #43     Jul 13, 2003