Comments on: THINK ABOUT PRESS: How to Trade

By: Deevz

Deevz — Thu, 03 Feb 2011 05:12:02 +0000

Mr. Olsen, I’ve been rereading your booklet lately and it led me to ponder how can the passive herding phenomenon can be. I understand that the herd tends to accumulate losing positions and that their stop losses and margin calls can drive the price up. However, shouldn’t the market orders of the herd (which, by hypothesis, are selling into uptrends and buying into downtrends) offset the price movement caused by their stoplosses? I’m no expert on market microstructure, but it would seem logic to me. And keep up the good work, I’m sure most people reading this blog appreciate the holistic approach to trading that you share with us here, can’t thank you enough for all those interesting articles!

By: Mark Brant

Mark Brant — Thu, 03 Feb 2011 03:59:55 +0000

Great sir! No problem. Thx for the tweets and please keep them coming, and a very special thanks for HTT. A global “big picture” of real-time Long-Short positions of all financial instruments would indeed be useful in preventing the crisis culture that Wall Street benefits so magnificently from in terms of bailouts and political control of government policy. I’ll just make it simple and not post here, but I’ll be reading!
Thx for all your help and please take a look at Practice 6587183 occasionally to see how my program derived from HTT is working out. Cheers!

By: richardo

richardo — Wed, 02 Feb 2011 09:25:36 +0000

Dear Mark, thank you for your feedback. Having said this, the blog is not designed as a trader’s blog, so it is not ideal to post comments on actual trading strategies, because this will change the nature of the blog. I am trying to build a blog that addresses the bigger picture. Time constraints on my side prevent me from being more active, so apologies for moving slowly. I am grateful for your understanding.

By: Mark Brant

Mark Brant — Wed, 02 Feb 2011 06:02:29 +0000

I might add that Eur/usd and Gbp/usd are always good buys below 40% long. The dynamic to look for is when ratios are pulling back on one side and rising on the other like a slingshot being pulled back storing energy that is released as prices rise. Don’t just look at the static percentages, look at how they are changing. I got that from Dr. Olsen’s tweets on @olsenscale. If you can learn to see the ratios the way he does you will be way ahead of the game.

By: Mark Brant

Mark Brant — Wed, 02 Feb 2011 05:39:42 +0000

weatherprofi: HTT is for the booklet by Dr. Olsen, “How to Trade” Yes, but I am concentrating on Longs and Shorts close to or over 70%, which are called Passive Herders in HTT. The results are dynamic and astounding. I advise to devise a program modeled on HTT and trade it on FXtrade Practice. You’ll be in the Hall of Fame in no time. Cheers!

By: weatherprofi

weatherprofi — Mon, 31 Jan 2011 16:01:00 +0000

@mark brant: What does HTT stand for? Is your 50% threshold trading still working?

By: heinrich hermann mayerin

heinrich hermann mayerin — Mon, 24 Jan 2011 02:42:24 +0000

Anyone can view the program: markbrant3, fractallight. Please don’t trade it or alter anything!

By: heinrich hermann mayerin

heinrich hermann mayerin — Mon, 24 Jan 2011 02:41:07 +0000

Refined to: $100M capital, 1M units per trade. 14 open trades off the FX L/S Ratios. Longs are below 50% long threshold, shorts are above it. 100-pip T/S (trailing stop) replaces the price improvement method; exposure is never raised beyond 0.17-1
or 577% margin. L/S ratios sampled every 20 minutes and the 14 pairs are always in the market 24/6 all year earning cash flow positive. T/S stops losses and allows profits to run. Positive EV and strong risk control.

By: mark brant

mark brant — Fri, 14 Jan 2011 07:07:30 +0000

Surfing positive avalanches as London warms up. This is so great. Thank you Richard.

By: mark brant

mark brant — Fri, 14 Jan 2011 05:15:19 +0000

Up .08% and rising!