Quote from zedDoubleNaught:
Thank you Mr Deco for the earlier responses to my previous questions, they have added a lot.
Do you trade one strategy on an instrument at a time, or do you trade 2 or more strategies on an instrument at the same time? If it's several, then if 2 strategies give opposing signals at the same time, or suggest different stop-limit amounts, how do you decide which strategy takes precedence?
thanks
I'll have to answer. In the wee hours (wee-wee hours?) Dr. Deco mistook the Everclear for the Tito's and is not in real good shape right now.
He only trades one strategy on one instrument at a time. The best strategy of the five that appear to work en se moment. He and I go round and round aperiodically on the very issue you bring up. For the case where two systems trade every day, the answer is always as follows, in two parts.
If the two systems agree, and you can trade more than two contracts, why would you put one on the better system and one on the worse? Of course, you don't. You roll your wad on the winner.
If the two systems disagree, why would you fuck up the expectation of the better one by letting the inferior expectation system cancel it?
The sole exception is if the two systems cannot by design be in play simultenuously, as in a reverse on stoploss, or a reverse on a stopped out reverse, or a....(Deco in his youth was enamored with the specious SAR system, and is always trying to make it work in a deviant form).
The same illogic applies to three or more systems.
For the case where two systems rarely or never pop on the same day, of course you trade both. But such systems would both likely unattractive, because neither would be trading very often. Win or lose, Dr. Deco likes to trade every day. Otherwise, why bother to sober up?
