If anyone is interested in the quirky Niederhoffer, Bloomberg mag ran a fascinating six page article about him this summer. It said Vic trades SP500 as many as two dozen times a day, but only from the long side and has an assortment of interesting prop traders, a former poker champion, some math wiz etc I like Niederhoffer, he is colorful, very smart and most importantly very open. I wish trading had more open smart quirky people like him, unfortunately the business of trading at one end has cheesy salespeople peddling books and workshops and the other end of the spectrum super secretive people like Tudor and Jim Simmons. Would any have a transcript of his July WSJ story? http://www.andongkim.com/articles/2006/08/niederhoffer_fundmay.htm
Mav, i do not drink beer. Thks anyway. My disdain for Vic remains from a few years past when i bought his book and it was a mantra babble about his ego and how much he was in love with himself. The book went into the trash can. We all read about the article where he has strange habits. We miss you on boring Fridays in the chat, i mean in afternoons on friday what better to talk about than fluffers. .... have a good day. PS, i enjoy rattling yours and bitstreams cages. .....
the only thing u rattle is the tight bars of your zoo cage, face it stinkbreath u are so below average in everythin' u do and say nobody actually bothers to reply to your posts other than me and mav when we dutifully spank your dirty ignorant ass.
Nah... I've also spent hours in VN's trading room, learning what he does. 'Secretive' is the last word I'd use to describe him.
The Man is a testament to self-promotion... And building/maintaining relationships with influential friends. I have his book (doesn't everyone?)... And it's an endless hodge-podge of hoary old trading cliches... That do not get in the way of the Real Purpose... Shameless promotion of all things Niederhoffer. I can't imagine how someone new to trading... Could extract anything useful from "Education"... Other than following a general lifestyle of fascination with games of chance. I don't believe that he has beat the market over the last 20 years... And it's easy to be totally irresponsible (like 30% to 100% drawdowns)... When it's Other Rich People's Money.
dammit i know beta. the point i am making is that if a market moves outside of its intermediate term correlation which for ur sake i will call beta. i.e 6-12mth beta, this would it be profitable to trade on the assumption that the intermediate term beta relationship will hold? Say for example If market A goes up 100 points and market B goes up 100 points and the correlation between A and C is 0.5 and the correlation between B and C is 0.7. If market C has only gone up 10pts would it be profitable to trade on the assumption that the intermediate term beta relationships will hold? I.e C will go up at least 50pts.
Yup. This is what I stated earlier. He is a very aggressive futures trader. Who knew Vic was such a big daytrader eh.