What Trends better????

saakk

Well-Known Member
#1
What TREND better, commodity like crude, copper, gold, silver etc or Stock index.... Same system applied on both (Crude and Stock index) gave a significantly different results..

If trader wish to follow a TREND FOLLOWING strategy which instrument should be use for trading..... Any insight from any one will be highly helpful and appreciated....

Thankx in advance....
 
#2
What TREND better, commodity like crude, copper, gold, silver etc or Stock index.... Same system applied on both (Crude and Stock index) gave a significantly different results..

If trader wish to follow a TREND FOLLOWING strategy which instrument should be use for trading..... Any insight from any one will be highly helpful and appreciated....

Thankx in advance....
best trends happen in forex thn commodity and then stock.

regds,
s
 

saakk

Well-Known Member
#3
best trends happen in forex thn commodity and then stock.

regds,
s
I have heard the same but the research i did on 18 months of intraday data, return from stock index futures super seeds crude by a huge huge margin, stock index returned 8% approx compounded per month and crude 1.69% compounded both for 2014 (not did any on currency intraday)...

Risk were same, filters, sl, tsl etc all were taken from price, nothing is guessed...

Have you done any research for the same, if yes how was your experience??


thankx
 
#5
I have heard the same but the research i did on 18 months of intraday data, return from stock index futures super seeds crude by a huge huge margin, stock index returned 8% approx compounded per month and crude 1.69% compounded both for 2014 (not did any on currency intraday)...

Risk were same, filters, sl, tsl etc all were taken from price, nothing is guessed...

Have you done any research for the same, if yes how was your experience??


thankx
I dont have any statistical data but from my trading exp i can say that comm trends more in intraday as compare to equities or index futures. I had traded them both in the past and found tht com is good inst to make handsome profit in intra be it crude/precious metal or base metals (copper/nickel). If you can sit continuously for long hours of com trading then go for it as i left com intra for this very reason of sitting for too long in the long run u get exhausted both physically/mentally

I dont know wht tools or how have you defined the trend but i dont use indicators and all in trading for me trend is wht i see and feel on the chart.

regds
 

saakk

Well-Known Member
#6
Can u tell which time frame u have studied? Commodity is traded from 10 to 11.30 so time frame should be higher for commodities for trend following.
15/75 min for stock index and 40.3/202.3 min for crude....

Edit:- reason for using 15/75 ans 40.3/202.3 is so that hopefully don't get more then a single trade a day or else cost start eating up in profit (add up in loss)..
 
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saakk

Well-Known Member
#7
I dont have any statistical data but from my trading exp i can say that comm trends more in intraday as compare to equities or index futures. I had traded them both in the past and found tht com is good inst to make handsome profit in intra be it crude/precious metal or base metals (copper/nickel). If you can sit continuously for long hours of com trading then go for it as i left com intra for this very reason of sitting for too long in the long run u get exhausted both physically/mentally

I dont know wht tools or how have you defined the trend but i dont use indicators and all in trading for me trend is wht i see and feel on the chart.

regds
2 time frames, trading higher time frame trends on lower time frame...
 

saakk

Well-Known Member
#8
What TREND better, commodity like crude, copper, gold, silver etc or Stock index.... Same system applied on both (Crude and Stock index) gave a significantly different results..

If trader wish to follow a TREND FOLLOWING strategy which instrument should be use for trading..... Any insight from any one will be highly helpful and appreciated....

Thankx in advance....
Any body any input......

Thankx
 

NJ23

Well-Known Member
#9
TF would work on Aluminium, Copper, Zinc, Nickel. Mean reversion works for Crude. Same goes for the USDINR pair. Stocks do trend but they would generally have more drawdown than commodities or currencies. Aluminium, Nickel are fantastic for TF.
 

saakk

Well-Known Member
#10
TF would work on Aluminium, Copper, Zinc, Nickel. Mean reversion works for Crude. Same goes for the USDINR pair. Stocks do trend but they would generally have more drawdown than commodities or currencies. Aluminium, Nickel are fantastic for TF.
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....
 
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