The ACD Method

Discussion in 'Technical Analysis' started by sbrowne126, Jul 16, 2009.

  1. Maverick74

    Maverick74

    Yeah I think some here forget just how discretionary this methodology is. It is the furthest thing from a red light/green light system. If one is willing to put in the work, the payoffs can be huge. But there in lies the rub....work. LOL.
     
    #9841     Jul 15, 2015
  2. wow12

    wow12

    I agree the method is descretionary to some degree but if i asked mav he would reply saying the method is pretty systematic from his view point but from outlooker it would look very decretionary but the main value add from my perspective is not knowing how mav does his numberlines or OR but rather his understanding and his thought process in developing certain decision from their in my opnion you gain insight into some of the experience and just mybe allow you to think differently about certain ideas you have held that may have been incorrect. ( apologise if this doesnt make sense multi tasking lol)
     
    #9842     Jul 15, 2015
  3. wow12

    wow12

    Mav it really ironic i can remember watching mark fisher seminar videos and thinking i really undertstood what he said but thinking about i was way off but the more i stare at my numberlines and the market it resembles large puzzle just go to understand what fits where and do it faster than every one else.
     
    #9843     Jul 16, 2015
  4. Maverick74

    Maverick74

    Here is a good analogy. I like football comparisons. So Tom Brady (suspension aside) has a very systematic approach to preparing for football. I'm sure he has a very regimented diet. A very structured offseason workout routine. I'm sure during the season he has a very set schedule about what days and for how long he reviews film for upcoming games, how he prepares during the week all the way down to his pre-game meal. So that part is the "ACD". But once the game starts, there is nothing systematic about what he does. He is a "discretionary" quarterback. He gets a play called in from the offensive coordinator. He lines up and looks at the defense and how they are positioned. And he reads their formation and anticipates the coverage. As the play develops he has to think on his feet and adjust to what is happening around him. He has to leverage his experience, his preparation and his physical abilities to make a play. THAT is what trading is and THAT is why so few can do it. ACD is how we prepare for the game on Sunday. But when the game starts, you gotta play the game.
     
    #9844     Jul 16, 2015
    ignl, Trader13 and wow12 like this.
  5. wow12

    wow12

    Mav the anlogy reminds of video of phil ivey ( i know some traders don't like the anology of poker but both games involve incomplete information ) did rare 1 explaining that he prepares systematically for various different outcome plays thousands of hands / gains personal insights into various players habits and then when it come to the table just reacts to the other players behviours adjusting on the go and checking their behviour alongside his past insights and adjusting all the time.
     
    #9845     Jul 16, 2015
  6. Maverick74

    Maverick74

    Yup, that is another good analogy. Poker players often prepare very analytically. They know the odds and probabilities cold. They understand theory. They understand pot odds. But when the cards are dealt, they become poke players.
     
    #9846     Jul 16, 2015
  7. wow12

    wow12

    Mav have u seen that video of jim simons discussing about effcient market hypothesis and gives small insight into his trading. He says some interesting stuff
     
    #9847     Jul 16, 2015
  8. Maverick74

    Maverick74

    Yup. The lecture he gave at MIT? That was VERY good.
     
    #9848     Jul 16, 2015
  9. wow12

    wow12

    He gave another 1 to 1 interview with some mathmatics guy gets interesting half throught where he goes tht effecient market hypothesis doesnt exist suggest tht anamolies exist in past data also states tht he uses small various egdes ( no1 notices) tht wouldnt be able to predict by themslefs but together allows them to predict with very high degree , he also states tht trends are anomalies tht shouldnt exist but do and states it also nulifies effcient market hypothesis. He also states that market has very high barriers of entry might just talking about his own business or business model.
     
    Last edited: Jul 16, 2015
    #9849     Jul 16, 2015
  10. Found a bunch of his stuff on YouTube. Saved for weekend viewing, thanks for highlighting.
     
    #9850     Jul 16, 2015