Tech/a system??

[andykm]

Hi all (tech/a),

My memory is a bit vague, but a few years ago when I started looking at share trading I had a look at the system that I think was on reefcap (??), that was the published results of a trading system that had performed well.

There were many many pages of discussion on the system. I am now getting to a position of putting a system together myself and was trying to find this old post, but I cannot seem to find it (some pages on google referring to it no longer link there). Is it still around and can anyone point me to it?

Many Thanks

AndyKM

 

[nizar]

Hi all (tech/a),

My memory is a bit vague, but a few years ago when I started looking at share trading I had a look at the system that I think was on reefcap (??), that was the published results of a trading system that had performed well.

There were many many pages of discussion on the system. I am now getting to a position of putting a system together myself and was trying to find this old post, but I cannot seem to find it (some pages on google referring to it no longer link there). Is it still around and can anyone point me to it?

Many Thanks

AndyKM

http://www.thechartist.com.au/forum/ubbthreads.php?ubb=postlist&Board=53&page=1

I found tech/a's system and the associated discussion very useful for my own system development.

Im sure you will too.

 

[RichKid]

http://www.thechartist.com.au/forum/ubbthreads.php?ubb=postlist&Board=53&page=1

I found tech/a's system and the associated discussion very useful for my own system development.

Im sure you will too.

Andykm, Anyone interested in systems threads can search ASF using the search tool in the toolbar. There are many threads here on systems development containing posts by tech/a and others.

Also be kind enough to avoid posting to rival forums directly, a mere description or pm should be enough. Thanks Nizar, hope you understand, thems the rulz!

 

[tech/a]

Thanks Nizar, hope you understand, thems the rulz!

Hmm I'll refrain from posting ASF references on other sites then.

If I'm taking part in a discussion and Ive left an example on another site rather than re write the whole thing again,I'll refer to where it is.

Whats the big problem with other forums mentioned.
While I agree if its blatant poaching then dont allow it---but for reference?

 

[theasxgorilla]

If I'm taking part in a discussion and Ive left an example on another site rather than re write the whole thing again,I'll refer to where it is.

I can save your fingers for you!

The system is very simple, as a good system should endeavour to be...and of course, can be improved upon. A good basis for the idea of a long term trend following system on stocks.

Position sizing: Always invest 10% of the current equity

Entry setup:
* Today's high is greater than the 40-day exponential moving average (EMA) of closes AND
* Today's high is the highest high for the last 70 days AND
* Today's close must be higher than today's open.

Entry trigger:
* Buy at tomorrow's open when today's high crosses the highest high of the last 10 days.

Entry filters:
* Today's 21 day EMA of volume * closing price (ie. daily money flow) is greater than $500,000
* Only buy stocks where today's closing price is less than $10

Stop loss:
* 10% of entry price

Sell trigger:
* Daily close crosses below the 180 day EMA of the low.

Universe:
* BT Margin list, which tends to resemble the ASX300.

That's it!

The universe is an important and often forgotten aspect in the system's success in actual trading. Not least because it allows application of leverage, but also because the 180-day stop is very loose and the top end of the market tends to be less volatile. In my testing I've found that during big corrections like May 06 and Aug 07 that when testing on stocks universes that included much smaller cap stocks eg. the XAO or the entire market, that open equity drawdowns are likely to be much greater.

The volume filter is largely redundant in today's market as there is plenty of money sloshing around even at the low end of the ASX300.

 

[tech/a]

Actually ASX thats not it.
An important element in the entry is missing.

These simple methodologies should be everywhere but I can only find Stevo's weekly method as another example which has been traded for any length of time. (There are Radges but he's a pro).

You dont happen to know any others do you?

Oh Andy if you have any questions regarding T/T or any other longterm system ASX will I'm sure be kind enough to answer for you.

I'd leave the liquidity filter in there,but hey thats just me.

In my testing I've found that during big corrections like May 06 and Aug 07 that when testing on stocks universes that included much smaller cap stocks eg. the XAO or the entire market, that open equity drawdowns are likely to be much greater.

Yes we all did,thats why its designed the way it is.
In the biggest corrective move so far over $300,000 was liquidated out of the market.
Perhaps you'd like to comment on that ASX,but then again there are 100s of pages of discussion,Formula's,questions,statistics and records here--

http://www.thechartist.com.au/forum/ubbthreads.php?ubb=postlist&Board=53&page=1

 

[theasxgorilla]

Actually ASX thats not it.
An important element in the entry is missing.

Of course I forgot...haha, yes, you need to hold your tongue just right before you click 'buy'.

You dont happen to know any others do you?

Of course I do...there a lots of very good ideas out there. Cobble some of the best together and you might just have a system of your own.

Oh Andy if you have any questions regarding T/T or any other longterm system ASX will I'm sure be kind enough to answer for you.

Just keeping it real tech/a. You and I both know it's not the be all and end all of systems. If you can't take it being critiqued and analysed for it's strengths and weaknesses you should never have put it up in the public domain.

Yes we all did,thats why its designed the way it is.
In the biggest corrective move so far over $300,000 was liquidated out of the market.
Perhaps you'd like to comment on that ASX,but then again there are 100s of pages of discussion,Formula's,questions,statistics and records here--

I think worth commenting on is the fact that this system is fictitious, in the sense that it wasn't traded by the designer as it has been paper-traded in the public domain. The paper-traded version might have liquidated as much but the designer has declared that they dumped their entire portfolio on several occasions before the system was allowed to work. The mechanics of a systems is one thing...can YOU actually follow it, that's something else.

 

[Sir Burr]

I think worth commenting on is the fact that this system is fictitious, in the sense that it wasn't traded by the designer as it has been paper-traded in the public domain. The paper-traded version might have liquidated as much but the designer has declared that they dumped their entire portfolio on several occasions before the system was allowed to work. The mechanics of a systems is one thing...can YOU actually follow it, that's something else.

FWIW I was surprised too, especially combined with "Just Do It".

SB

 

[tech/a]

Of course I forgot...haha, yes, you need to hold your tongue just right before you click 'buy'.

Hmm must have missed that condition.

Of course I do...there a lots of very good ideas out there. Cobble some of the best together and you might just have a system of your own.

Typical non helpful rubbish.Seems your good at Duck hunting and little else.

Just keeping it real tech/a. You and I both know it's not the be all and end all of systems. If you can't take it being critiqued and analysed for it's strengths and weaknesses you should never have put it up in the public domain.

Clearly you have missed the point of the exersise.

I think worth commenting on is the fact that this system is fictitious, in the sense that it wasn't traded by the designer as it has been paper-traded in the public domain. The paper-traded version might have liquidated as much but the designer has declared that they dumped their entire portfolio on several occasions before the system was allowed to work. The mechanics of a systems is one thing...can YOU actually follow it, that's something else.

Ive traded the method,and exited the entire portfolio twice.When in New Zealand and bought back the entire portfolio about a month later,learning a valuable lesson on capital gains tax.
Then again just reciently and still havent entered back in.

On each occasion I have been totally honest as to what Ive done and have continued with the "exercise" as a template for all following.
My returns even now being out of the longterm trading market are pretty similar to those achieved by the one which continues.
I have posted MY personal reasons on the site mentioned (Which by the way have been correct so far).

Why dont you add something to discussions rather than attack those who take the time and effort to add practical application,rather than theory and rehetoric.

I stick realtime trades up win or lose all the time.
Few do.
I note your not one of them.

 

[nizar]

ASX.G.
Relax brother.

Tech is right you DID miss one important aspect of the entry.

Here it is:
Cross(H,Ref(HHV(H,10),-1))

 

[theasxgorilla]

Entry trigger:
* Buy at tomorrow's open when today's high crosses the highest high of the last 10 days.

I had that one. IMO this trigger combined with the 70-day HHV setup is the best part of the system. It's quite clever the way that it ensures the stock much be forming higher highs, not just breaking out.

I didn't chose to use it myself because I didn't want to find myself trading in the wake of other TechTraders or derivative systems. That aside it's a cute feature.

 

[nizar]

I had that one. IMO this trigger combined with the 70-day HHV setup is the best part of the system. It's quite clever the way that it ensures the stock much be forming higher highs, not just breaking out.

I didn't chose to use it myself because I didn't want to find myself trading in the wake of other TechTraders or derivative systems. That aside it's a cute feature.

Yeh sorry I didn't notice as you had some conditions under entry setup and the rest entry trigger.

 

[RichKid]

Hmm I'll refrain from posting ASF references on other sites then.
............

Depends on the rules and etiquette of that forum tech.
This issue has been discussed with you before in relation to ASF's code of conduct. Besides, the links to some sites don't work so cutting and pasting a url is a waste of time but I do understand your concern about duplication.

 

[andykm]

Hi all,

Thanks for the replies.

As a side, I did try to PM you (tech/a), but the mail came back as undeliverable, which was why I went to the forum to try and track things down. I did do some searches on this site, but could seem to find the one I was after (though I thought I had seen it here previously).

Sorry if I did not follow protocol.

Cheers

AndyKM

 

[Wysiwyg]

Tech/a. I notice a few system subscription sites popping up and wondered if you had near term plans of doing so yourself? I had a look at Aussie Stock Forum poster TECM website where they send alerts for ASX200 and/or DOW30 to paying subscribers.

 

[tech/a]

No
The system is fully disclosed all one has to do is load the formula to Metastock/ Amibroker or Bullcharts and there you have all the trade triggers for the day searched.

 

[TECM]

Tech/a. I notice a few system subscription sites popping up and wondered if you had near term plans of doing so yourself? I had a look at Aussie Stock Forum poster TECM website where they send alerts for ASX200 and/or DOW30 to paying subscribers.

They do give you a free trial period which, if you ask, they will extend if you need to. You don't know till you try.

 

[Wysiwyg]

No
The system is fully disclosed all one has to do is load the formula to Metastock/ Amibroker or Bullcharts and there you have all the trade triggers for the day searched.

No not that thing.

 

[tech/a]

No not that thing.

You mean in anyway with anything?
If so NO.

I dont want to
I dont need to.

 

[Billyb]

great things come to people who kindly give freely, which is probably why you

dont need to.