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omshivaya
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Joined: 06/Sep/2006
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   Posted: 15/Jul/2008 at 11:33pm |
Originally posted by kulman
So you would have gone long only after the trigger point. What about stop-loss levels? |
Nothing needed! Just opening a position at start of day and closing it just around 10 seconds of closing time. I have tested the model thoroughly on HDFC Bank's data since 1995 and that includes bear as well as bull markets, and despite that the drawdowns have not been able to wipe out te entire portfolio. In fact, maximum drawdown has been around 30%. In fact, I tested it particularly for the period starting from 1 Jan 2008 and the results have been pretty heartening.
Let's find out if it really is and whether it is really worth it. My gut feel and research says it is good for someone wanting to keep a major-part into investing and partly into 'trading thru this system'.
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The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it
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kulman
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Posted: 15/Jul/2008 at 11:36pm |
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Okay, it's a kind of quant model designed by you. Good it would make things a bit exciting in this otherwise gloomy bear phase.
You didn't answer about stop-loss levels if someone wants to really execute those trades.
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Life can only be understood backwards—but it must be lived forwards
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omshivaya
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Posted: 15/Jul/2008 at 11:43pm |
I did answer it Kulman jee. The model requires opening a trade and closing it at the closing price. I would be using closing price for ease of use. No Stop Loss is used by my model and despite that it has worked as I said it has in the previous messages. Max. Drawdown of 30% despite bear an bull markets seems okay to me.
Every TEDdy is cautioned: Do not trade based on my model. This is for testing only until proved otherwise!
Let's see how it does Kulman jee, yes...many numerical models are quant based. Dunno which category mine falls in LOL!
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The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it
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Vivek Sukhani
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Posted: 15/Jul/2008 at 11:49pm |
I agree with Om sir's caution statement.
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Jai Guru!!!
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Vivek Sukhani
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Posted: 15/Jul/2008 at 11:52pm |
But I will request Om sir to talk a bit about his numerical model.....otherwise your model will remain a model and will never gain any credibility.
I disclose my interest here......I like talking about mathematical way of working out things, just it. I am not in trading in any way, am not permitted to....so I am nhot here to take advantage of any recommendations.
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Jai Guru!!!
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omshivaya
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Posted: 15/Jul/2008 at 11:57pm |
Originally posted by Vivek Sukhani
But I will request Om sir to talk a bit about his numerical model.....otherwise your model will remain a model and will never gain any credibility.
I disclose my interest here......I like talking about mathematical way of working out things, just it. I am not in trading in any way, am not permitted to....so I am nhot here to take advantage of any recommendations. |
There is always time later on to talk of details. Right now, we should see whether this damn model works at all  Jai Ho!
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The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it
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kulman
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Posted: 15/Jul/2008 at 11:57pm |
Let's see how it does Kulman jee, yes...many numerical models are quant based. Dunno which category mine falls in
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Got it.
Jai ho!
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Life can only be understood backwards—but it must be lived forwards
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basant
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Posted: 15/Jul/2008 at 12:00pm |
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This is interesting. Will you use gut to transact or is it 100qc based out of numbers.
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'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in
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