It is fairly simple, what I mean when comparing rate of returns.
Say the challenge starts Tuesday, my buy price on dell is
say 85 3/4. The TA person must document 25 trades, BUT must
factor in commissions as well.
For example, long dell at 85 3/4 sell at 87, long dell at
83 sell at 85, etc.... I bet I will have more money, one
year from now with DELL than that person, even if DELL is lower
in a year. I don't see how I am giving the person any advantage,
even if they are small price trades, don't forget commissions.
For all practical purposes, I hope they are not small trades, but
I want to see any TA system destroy buy-and-hold DELL this year.
I certainly hope someone takes me up on it.... I started
a thread TA vs FA about a year ago and did the same challenge.
NOBODY was willing to take me up and I was arguing with all
the super TA guru's here at SI. Check it out. |
