November 1, 2010
Neural networks had their heyday in the late 1980 and early 1990s. Then the honeymoon ended. What happened? Basically, disillusionment set in among traders who believed that this new technology could, with little or no effort on the trader’s part, magically provide the needed edge. System developers would “train” their nets on raw or mildly [...]
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October 30, 2010
To objectively study the behavior of mechanical trading systems, various experimental materials and certain tools are needed. To study the behavior of a given entry or exit method, a simulation should be done using that method on a portion of a given market’s past performance; that requires data. Clean, historical data for the market on [...]
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