I've always thought it would be cool if the holy grail was just...

[bwolinsky]

Quote from kut2k2:

Why ask "what"? The guy said he has a system to sell for $8.5M; I was just asking pertinent questions.

I will note that was the second time I asked how he arrived at his pricetag and it's the second time he avoided answering the question.

The pricetag was my price for that work. APR's and DD's, avg profit and loss, but then I tell them 2-3 trades per month and it's like, "Oh, so it's not a real system." Then my mind goes berserk and I think about how much value it added to my practice, and then when I see a 55%+ return for 2012 and December 2011 in my client accounts with it for IRA's, that's when I wonder how anybody with cash that large isn't going to be able to use it.

Price is worth it. But that was my price for a lifetime of work.

 

[1a2b3cppp]

If you have a system so profitable it is worth $8.5M, why not just trade it yourself and make the $8.5M in profits?

What size account is required to make $8.5M off of it?

 

[IronFist]

I tried something similar years ago with a 60 period MA. I thought I had stumbled onto the secret of profitability until I learned that, like you said, you will get chopped out so many times it will wipe away your gains.

 

[1a2b3cppp]

Quote from IronFist:

I tried something similar years ago with a 60 period MA. I thought I had stumbled onto the secret of profitability until I learned that, like you said, you will get chopped out so many times it will wipe away your gains.

Yes!

The people who don't acknowledge the getting chopped out part are the people who have never accurately backtested or real time tested such a strategy.

Did you ever end up with a way to filter out/deal with the chop?

 

[Ol' Yella]

I tried ma stuff like that too.....

only buy when ma is sloping up, etc

maybe that could be one part of a good trading system

but I dont think it could ever be that simple, trading is more complicated than that.

You would probably need some way to identify a bullish condition....

and when that condition is present..... trade long when the ma is sloping up or something like that

but you already have a profitable position trading system going in your thread

and a profitable day trading system that you arent using anymore

so you probably dont need to worry about it....

 

[kut2k2]

Quote from bwolinsky:

The pricetag was my price for that work. APR's and DD's, avg profit and loss, but then I tell them 2-3 trades per month and it's like, "Oh, so it's not a real system." Then my mind goes berserk and I think about how much value it added to my practice, and then when I see a 55%+ return for 2012 and December 2011 in my client accounts with it for IRA's, that's when I wonder how anybody with cash that large isn't going to be able to use it.

Price is worth it. But that was my price for a lifetime of work.

Sure, you're free to name whatever price you want but $8.5M just strikes me as a remarkably specific figure. Why not 8M or 9M? I thought maybe you had some snazzy pricing method for arriving at your price that I could maybe apply to my own WIP system for sale. Oh well.

How extensive is your backtesting? I assume your marketing displays the features of your system with complete statistics, I'm just curious how many trades your stats are based on.

 

[Traveler]

You're describing long term trend following. It's worked for decades if you have the stomach for the drawdowns and have enough money to do it on a widely diversified pool of assets.