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Claims Of Concerted Bond-Dollar Decline Are Unfounded

Many articles in last few days attempt to link a decline in US Dollar to a correction in bonds. Technical analysis is used to justify bias. These markets are known for often violating technical analysis since their direction depends on political … Continue reading

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Why So Many Overestimate Their Technical Analysis Skills

Many traders overestimate their technical analysis skills and this mainly involves those using old and outdated methods. However, in some cases technical analysis is used as a cover to promote wishful thinking.

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Why The Financial Media Is Wrong About The Rally In Gold

Gold rallied about 2% after the rate increase announcement yesterday. The financial media believes that this was a typical “buy the fact” reaction. They are wrong.

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Trends And Trend-Following Are Not The Same Thing

It is an empirical fact that trends develop in financial price series. But it is also an empirical fact that in recent years profiting from trends has not been easy. People with skin-in-the-game know that trends and trend-following are not … Continue reading

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Announcing The Release of DLPAL LS For Long/Short Equity Hedge Funds

We are pleased to announce release of DLPAL LS, a software program for long/short equity hedge funds that use technical strategies.

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Warning Signs To Help You Avoid Naive Quants

How can one distinguish between someone who is actually playing with a backtesting program and a competent quant? There are a few warning signs.

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The Fed Has Not Manipulated the Stock Market

There is widespread misconception that the Fed has manipulated the stock market. No one can manipulate share prices directly without actually transacting in the stock market. I describe a mechanism of stock market manipulation below and I claim that large … Continue reading

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Trading Multiple Strategies: Mean-Reversion Example

There are many different ways to trade multiple strategies depending on risk/reward objectives and markets considered. In this article we consider a specific example of four mean-reversion strategies that trade SPY and two alternatives schemes.

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