Hi TFT , What you say has been said by many people before with statistical skills . However let me ask you about the methods you used for testing and selection of criteria for entry/exit and adaptation of these criteria to whether the market is up , down or ranging. If you let Tech Analysis software do it for you , automatically you get a mess and without breaking up into sections for differing states of the market you allow the Random Walk Theory to share the results. I would be interested to hear more. PC
I am looking at a blueprint I drew up of Jacks Trading System - its not bad. But it won't work, the problem - his signal generator (you know, that critical body of Logic that allows Jack to trade seamless from one pivot point to the next)...well... ...Its uses a Trilithium Powered Warp Drive Engine! I don't know about you Optionpro007, but I don't know how to build a Trilithium Powered Warp Drive Engine. If you replace it with a Common Sense Engine, the signals won't be as good, but it just might work - so I will give it a try. Thought You would want to know. The End (...Thank God)
Back to the subject at hand... TFTrader, There are a lot of successful traders and investors out there - it is a buisness. I don't beleive you even know what a trading system is. Try reading "Inside The Black Box" by rishi k narang. If you succeed in designing one afterwards, then read "The Evaluation and Optimization of Trading Strategies" by Robert Pardo - and dump whatever back tester you are using if it does not adhere to the principles outlined in his book. Back testing can produce false positives - you need to understand the art. Finally, realize the prefect combination of optimized indicators does not make for a trading system, your trying to create a Magic Bullet (same thing old Jack Hershey tried to do a failed) Also over-optimization can produce a brittle system prone to sever failure when the markets change slightly. Difference between you and Jack however, you realized you were unsuccessful (after 6000 hours) and hung up the spurs - poor old Jack is still trying. Now go on TF, go do your home work and try again.