. ND is NoDoji. No clue if that's the real name, anything is possible. We will have to take he comment at face value unless it's clarified. I think it wasn't sarcasm, but I have no actual evidence.
ok thanks. not sure why the journal is called special situations though. does the price drivers method only trade stocks that are taking a nosedive, aka catching a falling knife? TIA
See attached, I enter on bar 1 according to carryover. the first cicle is a reversal. the last circle is an exit on bar 78. So I will enter tomorrow hrot to finsish the trend that is being carried over. YVW.
I think at the end of the day the difference between the guy that makes it and the guy that fails is risk mgmt and discipline. When you read an interview with any of the famous traders out here, whether they are TA guys or Fundamental guys they all agree that is the main factor. A lot of times I would imagine guys that hear about a "price driver" are late to the party. Buy the rumor, sell the news type trades.
By "immediately exploited", I was referring to the fact that there appear to be some anomalies which work with a time lag from the initial appearance of the anomaly trigger. If the market were really efficient, the appearance of the trigger itself would signal enough traders to pile in to immediately earn all of the excess returns associated with the anomaly. That doesn't happen. Some anomalies are still earning excess returns a year out from the initial satisfaction of the relevant conditions. When you look at the market as a process for the creation of price fluctuations and deconstruct that process into its beginning, middle and end, it doesn't change at all. The change is all on the surface, not in the structure. The only way it could change is if it ceased to exist.
A few days ago there was a thread about "what was the most important thing for you to learn" or something like that. I said "Learning how to lose" and it has definitely made all the difference for me. I treat every trade like a scientific experiment with a right and a wrong answer. When I get the wrong answer from the market, I exit. What I love about my strategy is that the answer nearly always gets "wronger" after I exit, so my exiting was definitely the right move at the time. There's always another trade on the horizon. The funny thing I have found about discipline is that there is a positive feedback loop for discipline embedded in a good strategy. If you have a good strategy, you are going to find that your breaks in discipline cost you money. After being burned enough on this, you will adhere to your rules.