Replies to post #32379 on Profunds index and sector trading (PRO)

[Namiar]

The NDX model lost the scalp at the close, although the SPX was still on. Since only 1 of my 3 models had active scalps, RAIM will continue to stay in cash.

However I made my personal trades 10 minutes to close and the NDX was still active, so I am long for Tuesday about 50% total split between NDX and SPX.

Maybe I should modify RAIM so that the trades reflect decisions made at trade time rather than the final numbers . . .

[kanuti]

TDW called me numerous times after I told them I was leaving. Offered numerous concessions including interest on cash balances in margin account, something they took away from me in November of 2004. They also offered no commission trades with Profunds but overall too little to late.

Changing your RAIM model to reflect actual trades rather than non-tradable closing signals sounds like a good idea to me. I have seen many models and trading plans that can not be followed due to closing and purchasing time differences. Even the VTO play will not work exactly due to changes from closing numbers on the NDX and actual purchase price availability of the QQQQ in A/H.

In the beginning of my back testing I attempted to look at not only the daily charts but also various minute charts to determine if the trade would have been made before the close. In most cases nothing changed but some were questionable and then on top of the signals some emotional and gut instincts would have to be thrown in on the close calls. That is why I figure my model will be followed to the best of my ability and occasionally entries and/or exits will be missed. Hopefully I can come close to the end of day signal results, but only real trading will tell.