Tuesday, March 20, 2007

Closed Positions Too Soon

Looked this morning to me that the major indices were going to try to close the opening gap. So I closed all my long trading positions. I got to campus now and the indices are up nicely. As I read recently: "It's better to be out of the market wishing you were in than in the market wishing you were out" :) This is especially true if your method generates a high percentage of winning trades. Then it is less important to let the winners run. The model signals are very ambiguous here, so I'll wait for a clearer signal to do that. I'll do a post or two soon on the basics of computing your investment and trading performance. I think it is much easier than most people think it is.

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