I've had a little bit of trouble doing search's through prior posts and short of attending a seminar, I was wondering if anyone could recommend a website, books or articles on pair trading and opening trading??? I Would like to get a better understanding of how they work and whats involved. The basics for a newbie.
Over the past year or so "Active Trader" magazine has had a couple of articles on this. Sorry, I don't have their URL handy but any search engine can point you to them. Best regards, Jim
As soon as there is a book, videotape, or some website devoted to a technique, then that means that the technique is probably not working anymore. I have posted quite a bit about the basics of pair trading, and how the opening strategies work (at least a good overview)...but it take a few hours to be sure that the traders understand the full concepts, exit strategies, and risk concerns. No one has to come to training to learn this stuff....unless they actually want to improve their trading. I have tried hard to not "push" any of our training, but we do a good job and have a track record of successful traders to prove it. Search through this board, and you will get a pretty fundamental idea of what we do, and then maybe you'll want to learn the "how'....hey, I'm always paying to learn things, and am usually glad I did.
A book by Stephane Reverre - "The complete Arbitrage Desk Book" He was head of index arbitrage and quantitative trading for a french bank. Although the book is about arbitrage in broad and complex mathematical sense it has some info on pair trading - it is heavy on math but does give pretty good evidence of pair trading profitability and it usefulness as a tool. Do not expect it to lay out a strategy it does not. But still worth the read.
Get a subscription to Active Trader Magazine at www.activetradermag.com because they will ocassionally have articles about how traders trade throughout a trading day There was an article (back issue) by Barry and Ryan Watkins about time zones called "Putting Time On Your Side"...this article has some good info about tradin the open and other intraday time zones. http://www.activetradermag.com/backissues.htm In fact, there several different aspects about Open Strategies...just click on some of the back issues in the link above and see if there's a headline your interested in. Also, I believe Kevin Haggerty has a video course called "Trading With The Generals" over at www.tradingmarkets.com Also, use this search at Google to come up with some information about "Daytraders Time Zones": http://www.google.ca/search?q=Daytrader+Time+Zones&hl=en&meta= Change the words above to come up with different search results. Nihaba Ashi Hint: I rarely trade mid-day :+)
Keep the books a comin....trade with the "privates' ...ask the General why he said he was a Managing Partner of the CBOE, and yet has never even been a member of the CBOE, and they have never even had a position like that. The trouble with seeking out the truth, is that it rarely has anything to do with the hype involved. (personal comment by me, nothing to do with Bright Trading or any affiliated company)....
Ding! Now there's a bull's-eye. Some of those $3000 vids and mass-mailed CDs should be more accurately categorized as "Hustling with the Hucksters"...! Funny how you never/rarely see those types contributing openly to a stand-up forum such as this one.
Actually I believe he was a member of some (unspecified) managing director's committee. But, then again, they have so many committees it wouldn't surprise me to learn someone nominated his Golden Retriever to serve on one of them.
Not necessarily. Toby Crabel published a book 10 years ago and he's still making good money from his basic methodologies. http://iasg.pertrac2000.com/SnapshotPT.asp?ID=82 See? not even one losing year since inception. There is a number of copycats out there with varying degrees of success; there are a few who are even more successful than him, in terms of sharpe ratio, drawdowns, historical returns, assets under management etc etc. This also shows that there are indeed successful systematic futures traders.