Trading Resources: InvestorFLIX.COM

Tools Of The Trade

Trading Resources: InvestorFLIX.COM

asimon 06-03-2006, 1:38 PM

I recently subscribed to investorflix.com, a website similar to netflix. You pay a monthly fee and then receive through the mail investing movies and audio CD's, when you are done, you return them in the postage paid envelope. I am interested in building mechanical trading systems for the FOREX market, and indeed, they have resources covering those topics.

They have two kinds of resources, CD's with mp3 recordings of conference presentations and DVD's. I have organized my queue so that the mp3 CD's are first. I have found it tremendously helpful to transfer those mp3 to a portable player so I can listen to them in the car.

Here are some worthy rentals, they are reviewed in detail in the InvestorFLIX forum:

http://flix.ino.com/preview/movie.html?movieid=232 : Building a mechanical trading system from the ground up, by Nelson Freeburg, from Formula Research. Very interesting presentation, very thorough, gives the algorithms for several trend following and trend breakout models.

http://flix.ino.com/preview/movie.html?movieid=265: Computer-Based Trend Trading: Employing Sound Research and Design for Profit, by Patrick Raffalovich. It is a good introduction to system design, I learned to not use fixed threshold values, but rather observe the tick data, and take a percentage of the minimum-maximum values recently seen.

http://flix.ino.com/preview/movie.html?movieid=124: New Techniques Using Average True Range by Charles (Chuck) LeBeau. First version of a series of two similar and excellent presentations detailing uses of the average true range for exit setups.

http://flix.ino.com/preview/movie.html?movieid=82: A New Look at Exit Strategies CD by Charles (Chuck) LeBeau. This is the second version of a presentation on the importance of Exit Techniques. He uses the Average True Range (ATR) indicator to determine where to place trailing and fixed stops. He explains in detail several adaptive exit techniques which use the ATR. One such exit technique is called the Chandelier Exit and allows us to ride intermediate and long term trends. Another exit, the Yo Yo (or YoYo) exit, protects us against rapid trend reversals. A third technique tightens an ATR based trailing stop as the trade becomes more profitable.

For more detailed reviews of these titles, create a free accont and login to read the InvestorFLIX forum.

My InvestorFLIX queue

asimon 07-01-2006, 8:48 AM

For more details about the trading systems or lessons learned, create a free accont and login to read the InvestorFLIX forum:

Titles already received:

Title	Author	My Rating
Building a Mechanical Trading System from the Ground Up - Part 1 (reviewed in the InvestorFLIX Forum)	Nelson Freeburg	4/5
The first of three very similar presentations by Nelson Freeburg, who runs Formula Research. He presents in detail several trading systems. Historical analysis of the systems is presented

Building a Mechanical Trading System from the Ground Up - Part 2 (reviewed in the InvestorFLIX Forum)	Nelson Freeburg	4.5/5
The second of three very similar presentations by Nelson Freeburg, who runs Formula Research. He presents in detail several trading systems. Historical analysis of the systems is presented

Computer-Based Trend Trading: Employing Sound Research and Design for Profit	Patrick Raffalovich	4/5
Introduces several interesting concepts: never use fixed thresholds to directly analyze price action. use three timeframes to decide to enter trades.

Developing & Implementing Pattern-Based Trading Systems	Tushar Chande	3/5
Presents patterns. Does not build rapport with the audience, presentation is 30min shorter and lacks Q/A section

Developing a Multiple-Strategy Trading Program	Perry Kaufman	4/5
Shows how back-testing systems through price shock periods can mislead you to believe that the system is profitable. Introduces testing techniques to avoid including price shocks in testing results.

Rocket Science for Traders	John Ehlers	4/5
Introduces several high-tech indicators, explains that the using a Fast Fourier Transform (FFT) of market price action to determine the frequency of the trend does not work

How to Build Both a Trading System and a System For Trading	Tushar Chande	3.5/5
Revised version of his first presentation. A little bit better

Building High-Preformance Trading Systems: What Works and What Doesn't	Nelson Freeburg	4.5/5
The third of three very similar presentations by Nelson Freeburg, who runs Formula Research. He presents in detail several trading systems. Historical analysis of the systems is presented.

Finding a Trading System That Is Right for You	Robert W. Colby	4.5/5
A presentation by the author of The Encyclopedia of Technical Market. He warns about the dangers of using "indicators that bark twice". Those indicators use a time window and produce spikes when extreme values enter and exit the time window. He advocates using indicators that use exponential averaging, since no data falls off the indicator.

The Advantages of Trading with a 100% Mechanical Approach - Part 2	Richard Saidenberg	4/5
Present algorithms based on different time scales and trend breakouts. He attempts to use two long time scale breakouts to detect trend direction, and a short time scale countertrend breakout to signal entries.

A New Look at Exit Strategies CD (reviewed in the InvestorFLIX Forum)	Charles Le Beau	5/5
Second version of exit techniques presentation. A very well prepared presentation discussing the importance of exit techniques. The importance of exits is not emphasized, but they determine the profitability of trades, the risk assumed, and the frequency of trades. He introduces innovative techniques for selecting exit points based on the Average True Range indicator.

Teach an Old Indicator New Tricks, or the Commodity Channel Index — Not for Commodities Only	Barbara Star	3/5
Explains construction and trading techniques using CCI, a momentum type oscillator. Explains mechanical trading techniques based on the CCI exceeding certain thresholds. This presentation focuses heavily on discretionary uses of the CCI.

STARC Bands TM & Sibbet’s Demand Index - Part 1	Manning Stoller / Sam Tennis	3/5
Introduces STARC Bands, an innovative use of the Average True Range (ATR) indicator. Different from Bollinger Bands, which are calculated from the standard deviation of the closing prices and thus do not reflect the action between the high and low prices of the candles. STARC bands use the ATR around a Simple Moving Average of prices as a measure of true volatility and stand a better chance of working without re-optimization between different markets and time-frames.

New Techniques Using Average True Range (reviewed in the InvestorFLIX Forum)	Charles Le Beau	5/5
This is the first of two similar presentations on the importance of exit techniques. Very informative, introduces use of ATR to create exit techniques. The speaker covers the material in the handout, then continues answering the audience questions.

In Queue:

Title	Author
Bollinger Bands: Construction & Implementation	John Bollinger


Construction & Application of the MACD Indicator	Gerald Appel