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In a message dated 9/20/99 11:22:12 AM Pacific Daylight Time,
robert.cummings@xxxxxxxxxxxxxxxx writes:
> Problem
> with this trailing stop business is it not known to the average lay person.
> It took people like Mark Brown to point this out to me and others on this
> list. Omega has known about this situation for a longtime yet do not
> disclose it to the public. A guy that buys Omega's software does the
> testing using trailing stops and figures the results are reliable. Using
> this information to trade real money and not being told about this flaw
> could cost him a lot of money.
I dusted off my TS4 users manual....lets see...Chapter 14: Testing your
trading systems (page 354 in mine) spends two pages talking about how TS
handles historical data and how unreliable results can be based O,H,L,C data.
Of course, anyone who ever drew a single bar on a chart by hand knows that
too. If memory serves TS3, TS2, TS1 manuals talk about this too. I've had
dozens of clients who use TS. Unfortunately, few of them have ever read the
manuals (much less gotten their hands dirty after hitting F12 (hot key to
power editor, for all those who haven't)...that's too much work. It's much
easier to ask Mark, or Joe, or Jake....and then you'd better hope they know
what they are talking about and are honest too. People wonder why 90% lose.
Good Luck!
TS
(Not a TS fan, not a TS employee, but hey I have read the manual)
Just got the MB post.
He said:
"Its sort of like buying a car and the manufacturer not telling you that if
you are hit from the rear hard enough. It will jamb the doors shut and burn
you alive! I lived in a little town once and 3 youths were killed in this
manor."
MB, it is more like this:
If you drive your car into a brickwall at 100 miles per hour you might get
hurt! Therefore: WARNING! DO NOT DRIVE YOUR CAR INTO A BRICK WALL AT 100 MPH!
I lived in little town where two youths did this after a few beers. Just as
tragic. Blame Bud? Blame Ford?
Omega did not invent O,H,L,C bars. Nor are they burning anyone alive. The
same trouble existed doing this kind of study before computers, much less
before Omega. They just made it easier and faster to do a bad study.
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