Mechanical Trading Systems: Pairing Trader Psychology with Technical Analysis

Index

A

Accuracy of data, 117

Adaptive moving averages, 19

ADX, see Average directional movement index

Aesop, 1

Alcott, Louisa May, 163

Anti-Martingale strategy, 168, 169

Appel, Gerald, 27

Aristotle, 189

Asset classes:

data analysis by, 151–154

trending, 63–64

Average directional movement index (ADX), 28–29

Bollinger bands with, 81–82

DMI with, 57, 58

Averaging down, 168–169

B

Backtesting, 48, 89–90

for data integrity, 116–118

and same-day profit target/stop loss, 73–74

Bad data, 117

Behavioral finance, 1

Benchmarking, 123

Body-mind interaction, 191–192

Bollinger, John, 36

Bollinger bands:

with ADX filter, 81–82

and Ichimoku three moving average crossover, 61

mean reversion systems, 36–37

and moving average convergence/divergence indicator, 62

trend-following systems, 60–61

with 200-day moving average filter, 79–80

Breakeven syndrome, 68

Breakouts:

Bollinger band, 60

channel, 30–31, 59–60, 90–91

false, 19

The Budda, 87

C

CCI, see Commodity channel index

Channel breakout:

nth period (Donchian's), 30–31

for trend-following swing trading, 90–91

in trend-following systems, 59–60

Collins, Art, 59

“Comfortable” trading, 3

Commodity channel index (CCI), 37–39

slow stochastics extremes with, 82–83

slow stochastics extremes with time exit and, 83–85, 92–93

Conflict, internal, 193

Confucius, 177

Consciousness, evolution of, 196–197

Consecutive losses, 161

Consistency, 195, 196

Contract size, 43–44

Contrarian investing, 16, 17

Corrections, 8–9

Correlation history, 172

Countertrend reversals, ...