Originally Posted by HgaleK
Most moves involve similar price action on any scale. 1. move 2. retrace/consolidate 3. continue. I guess I consider 7/22 forward as part of the whole as opposed to separate moves. A close on the daily below support (which we're kissing right now) is where most people are considering the entry for part 3.
Would mind giving a general description of how your system works?
I mean that's a fair interpretation -- just for the purposes of my model, large uni-directional swings are what make the huge profits. Look at September/October 2008. It's pretty much straight down off a cliff -- and that one-month period generally causes my model to about double its yield.
As to the general strategy -- I basically have a portfolio of different (very crude, currently) algorithms, including inverse versions of every algorithm (i.e., when one goes long, its inverse goes short). I then have a heuristic layered on top of all this which on any given day decides between the various algorithms, and settles on one to use that day.