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Trading using Amibrokers "Exploration Analysis Signals"

In the previous post, I explained that there are "reasons" why I elect to trade using the raw signals the "Exploration Analysis" generates. One of the main reasons is that calculations are coded for the "number of shares to buy" at an "offer" for trading in the pre-auction. The last column is a double-check that my investment doesn't exceed the maximum value of each trade.


Re-balancing my next bet size

At times my remaining "trade" bank balance increases, as well as decreases & those values, need to be considered when it comes to working out my next bet size. Using the "Exploration Analysis" this feature is easily calculated making sure every dollar allocated to trading is fully deployed. This feature alone is worthy of trading this method rather than using Amibroker's "Portfolio Manager" feature.


Missing a signal because of "Gapping at the open"

[USER=22730]@Lone Wolf[/USER] pointed out in a previous post that "missing a signal" or signals of a "certain types" being (Gap-Ups) can skew your trading results in the long run, which is fair enough & it's a valid point for him to raise. I choose to trade in the pre-auction with a maximum "offer price" ensuring my calculations fall within the metric of my trading style (F.Y.I. - the buy position is only valid for one day).


My style works for me

I'm contented in missing those odd signals that punch above my offer & Gap-Up at the open. I should also say in my defense that the "offer" determines the number of shares purchased at the open. Allowing for "Gap-Ups" alters the number of shares purchased that at times the allocated funds won't cover.


Also the "Exploration Analysis" all the work is pre-done

Even to a beginner trading "Raw Signal" could be any easier as they are in the order the signal are placed into the markets. Colour coding also helps to understand why a position is being sold. Simply, trading this way is a piece of cake.


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Skate.


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