Richard D. Donchian System

Discussion in 'Trading' started by Chuck Krug, Aug 9, 2009.

  1. came across this System on Ed Seykota's site:

    The System Rules:

    1. Place a buy stop to cover shorts and to go long at the 210-day high.
    2. Place a sell stop to liquidate longs and to go short at the 210-day low.
    3. Size position so that risk to protective stop = 7% of current equity

    Anyone has an opinion on it?
    Seems that you continue to be short up to a 210 day and vice versa, and how can you position size this?
  2. and mr seykota takes all the opposing trades