Can you tell me why TF works well on alu, copper etc but not on crude and vice versa if take mean reversion strategy.... The basic question i am asking my self since long "why trend develop"... be it fashion trend or stock, stock index, commodity etc.... Before i go all in i need a answer to "why", since doing backward 13 months and forward 8 months testing my TF system on nifty data i was quit confident regarding the strategy but after testing it on crude 12 months i am little bit skeptical, though 12 months result ended in 18%+ profit but result was not worthy enough to take so much equity swing on capital.
Thnakx
Edit:- I have gone through much of the material by CTA (commodity trading advisers) of Managed Futures and how they do trend following still couldn't figure out why trend develops. If you can point me in the direction of something regarding this it will be of great help, research paper etc....
Thnakx
Edit:- I have gone through much of the material by CTA (commodity trading advisers) of Managed Futures and how they do trend following still couldn't figure out why trend develops. If you can point me in the direction of something regarding this it will be of great help, research paper etc....
I generally don't go on looking out for a "why". In my view, it's a worthless pursuit.