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Re: Limited life span of mechanical systems?



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>I have heard from several of the most experienced traders on this list, both
>privately and publicly, about how "mechanical systems don't work forever"
>and how you have to re-evaluate them as time goes on, etc.  I am definitely
>not an expert on this subject, but I would just like to question this point
>a bit further.


It depends upon how linear the equity curve is in backtesting over
several years.

A good clean curve such as the attached shows no sign of "getting tired".

This depends a lot upon how adaptive the system code is. A good
adaptive system should work for a long time.

Bob Fulks




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