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Strategies & Market Trends : Technical Analysis - Beginners -- Ignore unavailable to you. Want to Upgrade?

To: Spots who wrote (8271)	4/4/1998 3:15:00 PM
From: Richard Estes	Read Replies (1) \| Respond to of 12039

The key is to compare relative performance of different systems. All systems should have the same buy/sell perameters, so they are all even concerning when you buy or sell. the problem with buying or selling in the same day as signal, it would have you acting on something you had not computed. The problem of buying at the high or selling at the low on day after the signal is you don't know when either occur before hand, even though you may have reduced return. System tests are a matter of comparsions. %profit is not the only deciding point. Average win/loss amount, average time in trade, drawdowns on equity, etc should be looked at. TC2000/QP will not ever give you the complete results you would obtain from say MSWIN 6.5. You used the term "haven't set up metastock", if you have it take time wasted on manual test and apply it to setting MSWIN up. You are unaware of the many elements that have been set up in the system test to give you instant statistics on a full range of elements. So many concern themselves with total profit or "did it beat buy/hold" that they fail to know if they fully trust a system or what would best meet their mindset. Of course include commissions, who doesn't? But with today's $5-25 price who cares?