Factor Diversification Means Living To Fight Another Day [View article]
My testing shows that its best to be neutral weights and position sizing. Also long the best value and short the worst. Recognize that positions will become mis-sized the longer you hold them over time. Cut losses and let winners run by use reatively wide trailing stops. (which addresses the issue you bring up about "in too early and out to early").
I always have some capital (usually 10%) allocated to a trend-following trade (either long or short) on the S&P based on intermediate term Elliott Wave analysis implemented by SDS or SSO.
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My testing shows that its best to be neutral weights and position sizing. Also long the best value and short the worst. Recognize that positions will become mis-sized the longer you hold them over time. Cut losses and let winners run by use reatively wide trailing stops. (which addresses the issue you bring up about "in too early and out to early").
Sep 11 12:55 pm
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All Comments by irondoor91 »Factor Diversification Means Living To Fight Another Day [View article]
I always have some capital (usually 10%) allocated to a trend-following trade (either long or short) on the S&P based on intermediate term Elliott Wave analysis implemented by SDS or SSO.