The Contrarian Z-Score and Why You Should Always Strive to Reject Trading Systems

When I first read about the z-score system some years ago I knew it was a fluke. Descriptive statistics cannot be easily converted to edges due to non-stationarity.  More importantly, a quant should be always suspicious and strive to reject systems. This is the only way to survive in a market where edges are rare and hard to find.

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The Price Action Lab Report – Monday, October 20, 2014 [Premium]

Daily Market Recap and Premium report delivered before the market open. The premium report includes analysis of ETFs and S&P 500 stocks with focus on short-term high probability setups. Click here for an example of a daily premium report.

Market Recap – October 17, 2014

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Stock Market volatility: The Good News and The Bad News

The good news is that although volatility has increased, it is not yet at levels that have historically signaled a top. The bad news is that volatility is also not at levels that have historically signaled a bottom.

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The Price Action Lab Report – Friday, October 17, 2014 [Premium]

Daily Market Recap and Premium report delivered before the market open. The premium report includes analysis of ETFs and S&P 500 stocks with focus on short-term high probability setups. Click here for an example of a daily premium report.

Market Recap – October 16, 2014

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The Price Action Lab Report – Thursday, October 16, 2014 [Premium]

Daily Market Recap and Premium report delivered before the market open. The premium report includes analysis of ETFs and S&P 500 stocks with focus on short-term high probability setups. Click here for an example of a daily premium report.

Market Recap – October 15, 2014

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Three Good Signs From Yesterday’s Price Action

The Russell 2000 rose (IWM), along with social media (SOCL) and SPHB (S&P 500 high beta) was steady. While there are never any sufficient conditions hidden in price action, these are nevertheless three good signs but more support must come from fundamental news for a bottom to form at these levels.  

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The Price Action Lab Report – Wednesday, October 15, 2014 [Premium]

Daily Market Recap and Premium report delivered before the market open. The premium report includes analysis of ETFs and S&P 500 stocks with focus on short-term high probability setups. Click here for an example of a daily premium report.

Market Recap – October 14, 2014

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