A.I.M. Users Bulletin Board

[AIM1979]

All the discussion we've had about the Orcroft Method, Vealies and other variations on a theme are wonderful. Now we need a good discussion on the right metrics for the current market. Things change over time and we see this in other stock market algorithms and fund managers when they do great for a while and then fall on their face. In fact I once read somewhere that a hot fund manager that is at the top of his game and is hired away by another fund almost never does as well again.

Hi Allen,

In a post previous to this, one you mentioned why back test. Your comment above is exactly the reason to back test; Orcroft's method bears (no pun intended) this out. When I back test, I analyze technical indicators at the time of buys and sells. It lets me refine them and choose ones that provide me the best predictive result as to when to buy into a stock or ETF. In my testing, I look at stocks/ETFs that might be interesting to me. I AIM them all virtually as if I were back testing. I then enter the market with a real AIM program when the indicators I follow, line up with the virtual program signals.

It also allows me to watch the performance of the asset. As stocks often trade in a range, you can get a feel for when things are going awry as well.

BTW, I enjoy reading your posts. Oh, since you always have interesting links, here is one for you. https://www.robinhood.com/. It is an app/brokerage that is just getting off the ground that has $0.00 commissions and no minimum deposit.

Merry Christmas to All

Art