inspirations from a material world
mean-reverting strategies (Picture: wikimedia)
The real world, despite having lost some mind-share to reality tv, Tim Geithner and the internet, remains an interesting place and a potentially fruitful source of inspiration for our own efforts at strategy development. In this pictorial post, I’ll take a look at some of the physical phenomena which inspire or reflect various trading strategies/domains.
trend-following strategies (Picture: jamiescottimages.com)
trading STIRs
technical analysis
making markets
internalization
writing options
exporting debt
Categories: strategy development
Hehehe – I love these pics – very well inspired choices!
Very glad I found your blog. Started looking at archives and main page yesterday and I was very excited about the quality of it… I shall be delving into your archives very soon (found you via twitter recommendation btw – @milktrader recommended I follow you and that led me here from your twitter page!)
Jez-
Thanks, Jez, I was really just trying to find a way to get that surfer shot on my blog somehow. Living vicariously, once removed. ;^>
Yes I really like that one too! What a wave/trend to catch and ride!
Are you a surfer yourself? I am/was (definitely not getting any regular action any more) but the parallel to trend-following has struck me before: you got to try and catch many waves/trends. Most of them cost you effort/money as they are not succesful but the one you manage to ride all the way makes up for all of it because it is so much fun/profit…
PS: the pics on that website are great!
Found your blog today while looking for information about monte-carlo software. What a lucky find!
I have to admit I’ve been trading using robots based on simple technical indicators (finding that removing myself from the equation works much better). However, seeing that I’m in the snake-oil game worries me a little bit.
On that note, using fundamental analysis to find the longer-term tide shift might just give one the leeway to use technical indicators to identify random noise and take advantage of it when it results in a counter-wavelet. There is after all a lot of noise.
Who knows. Perhaps after spending more time digging into some of these issues I’ll be able to more fully explain the reasoning behind the robots I’m trading. It’s definitely something I’d rather be doing with my time.
> However, seeing that I’m in the snake-oil game worries me a little bit.
don’t worry be happy
;^>