While I agree experimentation with respect to various components of the overall system may provide improved results, altering this database of stocks may, in fact, reduce one's performance. The key to this specific database of equities results from two sets of criteria. First, each stock at one time ranked among the top 80 to 90 percentile of all equities with respect to EPS and RS. In other words, the Final Universe contains 'High Quality Stocks." Second, each equity in the Final Universe has shown to cycle a minimum of five times over a period of 6 months for a minimum gain of 20% across a 6 to 8 day run. An equity which shows repeatable cycles of gains allows the trader to accurate anticipate the next 20% run. Equities which do not cycle, yet may have improved volatility, may run higher faster, but also, may drop in price unexpectedly, and equally as fast. Just some food for thought. - Spydertrader
What's the % per day on the equity curve for this universe? different people get differing results with the high quality universe. The current high end results locally (Tucson) is running about 400% a quarter. This is under a million in captialization with intermediate level trading. Personnally, I believe concentrating on exits makes a lot of difference as well. TIA.
I think the point is not to select the fastest horse for the race, it is nice characteristic to have but not necessary, the point is to select the most predictable horse so that it go where you want it to go.
1200% a year Nice, the best traders in the world all concentrated in an IBD group in tuscon. We need them to come on elitetrader to teach us some tricks of the trade. Cause its severly lacking here
Actually, since there are 4 quarters in a year, by definition, that brings the non-compounded annual return closer to 1,600%, according to Grob. Forgive me if I remain a tad skeptical.
Actually, a number of pretty good traders post to this thread right here. Many have posted their results. Feel free to PM them and ask how their journey has developed. Remain skeptical all you like. I encourage the skeptics to investigate the matter at great length. However, to do so, I recommend visiting Tucson, Arizona and asking the individuals in person about their returns. The IBD Group meets twice a month. I'm sure they would love to have you attend. I cannot speak for those in the Tucson group, but I can speak for those individuals (including myself) who post here. Many have documented their watch lists, entrys, exits and results. If you have a problem with the results documented here, feel free to investigate the matter further. As long as the conversation does not break down into a flame war, I welcome and encourage your participation. However, if you decided to use this forum as an opportunity to take pot shots at Grob109, then I politely ask you to create your own thread and move the dueling insults discussion to that new location. I hope the above clarifies my position. - Spydertrader
It is exactly my thought. To me, exits are the least clear part of your equity system, and as you wrote: "... concentrating on exits makes a lot of difference ...".