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Strategies & Market Trends : A.I.M Users Group Bulletin Board -- Ignore unavailable to you. Want to Upgrade?


To: OldAIMGuy who wrote (8958)10/18/1999 4:41:00 PM
From: HighTech  Read Replies (2) | Respond to of 18928
 
I am playing with the trial version of Newport. I have a lot of time on my
hands to do some testing, which isn't efficient on Newport. I'll be glad
when I get the new version of PCA. However, I do like the Newport and will
probably buy it after my trial period.

Anyway, I jotted down UOPIX's weekly prices, adjusted for a 1:5 reverse
stock split in early 99 as well as a 4:1 stock split in July 99, from as far
back as I could get prices which was early March of 98 and I finished at the
prices ended early March of 99, so I only tested a period of one year. I
have only done one test which took about a half hour or less to do. I tried a
safe sell and buy at zero, used a $500(5%)minimum trade, starting with
$10,000, and equity of 90%, cash of 10%.

I expected a lot of trading with those tight parameters and, as expected,
there were 31 trades-18 sells and 13 buys. The bottom line, considering I
neither adjusted for possible cash earnings(when cash was idle) nor for the
cost of commissions or margin borrowing, was as follows:

AIM Performance------------+155%
Buy & Hold Performance----+133%

I had to borrow only about five times and the maximum I had to borrow was
$4555. This was during August/September of 98 and did not need to borrow
after that as the sales paid the margin off quickly.

The next test I will do based on the results of this one is a buy safe of
zero and a sell safe at 10. I expect much better performance from AIM
because at various times throughout the period tested, the B&H caught up
with AIM because AIM sold too many times, but then when the prices dropped,
AIM caught back up. I double-checked my work, so the numbers are fairly
accurate.

More to come, but it sure takes a long time. That's OK though because I
don't mind doing it - for now anyway.

HiTech



To: OldAIMGuy who wrote (8958)10/18/1999 5:22:00 PM
From: Bernie Goldberg  Read Replies (1) | Respond to of 18928
 
Hi,
Overall the last few weeks have not been too bad. I've had two sells in COMS which turned out very nicely with todays 2+ point drop. And I've had buys today in USON, BEAM and APCC. I'm now fully invested in USON. It has been all buys with just one sell located in the middle. Got lots of shares, would be nice to see it start up.
Tom, I am quite aware that you have tried just about every permutation of AIM imaginable. It just gets me that these guys who have never tried it keep making these major modifications to AIM without having really used it other than in backtests. I have come to the opinion that the backtests are sort of a waste of time. Mr. Lichello proved quite conclusively that AIM works with all kinds of stocks that go up and down. I have a friend that called me this morning who has been interested in AIMing for about 3 years, but didn't have enough money in her IRA (IMO). I told her to work with the Dogs of the Dow and keep putting money in her IRA until she had $10,000. That's why she called this morning. She had reached $9450 and wanted to know if that was good enough. She'll probably be ordering Newport in the the next few weeks.
By the way, you and Bob deserve a world of credit for Newport. IMO it's most important attributes are it's faithfulness to the original concept of Mr. Lichello. People can make changes to it, but IMO they should first understand what AIM is and what it does.
Bernie