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To: the-phoenix who wrote (130606)3/12/2006 11:04:56 AM
From: Win-Lose-Draw  Read Replies (1) | Respond to of 209892
 
The most famous "standard deviation" traders on the planet were, of course, LTCM. Three SDs "contains" in rangebound markets, but trading on that premise is a sure way to blow up, in both bull and bear directions, over the long haul.

Market returns don't follow a normal (or log-normal or etc etc etc) distribution.