For a Classic Trend Follower, Quants Can Help the Cause

Quants can be Useful to Classic Trend Followers Price in a financial market is a consolidated statement of all participant behaviour at a snapshot in time. A summary point estimate of the collective action of participants in the NOW. In a complex adaptive system comprising many participants, the behaviour of each participant creates a perturbative

Backtesting – The Good, the Bad and the Ugly

The Good, the Bad and the Ugly of Backtesting We have previously discussed how the central aim of Classic Trend Followers is to ‘Hunt for Outliers’. This is achieved through diversifying our simple Trend Following Models across a vast array of different liquid markets. We can of course manage our capital risk at all times, but

Let’s go Non Linear with Outliers – A NonLinear^2 Case Example

As classic trend followers, aside from managing risk at all times to protect ourselves from adverse Outliers, we focus our attention with our diversification in capturing Beneficial Outliers that exist in the market data. These Outliers are non linear events in the market data, which our asymmetrical trading systems are designed to capture.  What we mean