Christian

Stochastics and Multiple Realities

Posted on by Christian

Tom gave a reply that I think deserves more attention. Tom made the following comment to one of my blog entries.

One more thing, if the market is random per the stochastic process and you can’t find patterns in a market where patterns don’t exist, then why do we have trends? A trend is a pattern in my opinion.

If you look at the definition of stochastic process at wikipedia it does not say random as in completely random walk. What the definition is saying is that at each and every point multiple realities can occur.

Christian

Is the Model Important?

Posted on by Christian

Tom wrote the following comment:

Christian, great article! I was building an ATS myself but had to put it on the back burner. Do you dabble in neural nets and AI modeling as well? I predominately use YALE, an open source data mining, machine learning software to build currency, futures, and stock models.

This helps me identify emerging market trends and trade (discretionary) accordingly.

Christian

Quant Based Trading: Good News, and Bad News

Posted on by Christian

For the past eight months or so I have been writing my own quant based trading system. I like to call it quant based trading, and not automated trading because quant implies analysis and some automated trading. Trading based on quantative analysis is becoming the norm, not the exception. Automated trading implies auto-pilot and not as much analysis. If you don’t know much about automated trading it is time that you start learning about it.Now brokerage companies are starting to release automated trading software that you can use to devise your own strategies. For example, TDAmeritrade has released such software. I use Interactive Brokers as an online brokerage, which has an application programming interface allowing me to write my automated trading software. Or you can buy software that allows you to write scripts.

Christian

Turn 100,000 into 1.6 million in Four Months!

Posted on by Christian

Yes you read it right, I can show you how to make 1.5 million in less than four months. You think it is impossible, right? Think of what you could do with that money. You could pay off your mortgage, take a trip around the world, or buy a brand new Hummer because well you (more…)

Christian

Ever Wonder Why the 2.0% Inflation Target is Important?

Posted on by Christian

You will often read in the news comments like the following.

Carl Tannenbaum said, “I think chances are evenly split between a cut and a hike right now it looks like inflation is coming down – but core inflation is still stubbornly above the Fed’s 2% target.

Why 2%, why not 3%, why not 1.12345%? After all 2% is some number somebody thought would be a good number. Well, the 2% number is based on a central bank strategy.

Jason

Help a Fellow IG in His Support of The Arthritis Foundation

Posted on by Jason

Steve, who blogs here and at UnderTrader.com, is looking for sponsors for the bike ride he will be doing in support of the Arthritis Foundation next Fall. We will be riding bicycles along the coast from San Francisco to Santa Monica, California. It takes 8 long, tiring days! All it takes for you guys is (more…)

Jason

Hear Me at WallSt.net

Posted on by Jason

Kristin Friedersdorf, from WallSt.net, has posted her interview with me. Goto her Financial Blog Watch page over there to hear me talk about the history of InvestorGeeks and my lessons learned in trying to start a blog network. I had a great (if brief) time on the phone with Kristin. Her other podcasts are worth (more…)

Christian

My Head Says One Thing, But My Gut Says Another Thing!

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One of the things that I do to rationalize positions is take the opposite side and create my own debate. I often do this when my head says one thing, but my gut feeling is saying something else. So for this blog entry I am going to spill my guts and hope somebody wants to add their own two cents.

Ok, here is my problem that my gut keeps telling me, and its from from a comment Greenspan made.

Alan Greenspan said the housing downturn is more of a problem than credit quality and said the lending worries would be fixed if house prices rose 10 per cent.

Greenspan has been saying quite a few things lately with some things being that we may have a recession in the fall. I was reading in Business Week Greenspan is behaving the way he is because Bernake can’t tell the truth.

Steve

3 Small Words in the Caribbean…

Posted on by Steve

He said, “You know, my friends always ask me how I can afford to leave my home in Canada every winter. I don’t have a great job. I have a good job, but I’m not rich. I always turn to them and say the exact same thing…”