B. Hypothesis Testing

The author tested the hypotheses presented in this book, through trades made over a two-year period. The tests were performed on www.ThomsettOptions.com, and employed a combination of chart analysis and option trades. The following are all the trades during the period; these are also available for reviewing on the Web site and are open to the public. The overall net profits from this trading activity involved 582 trades and totaled $75,591 (unadjusted 38% per year) based on a hypothetical portfolio valued at $100,000.

The following are the results of the trades opened and closed in the virtual portfolio:

Image

Get Profiting from Technical Analysis and Candlestick Indicators: Powerful Methods for Accurately Timing Trades now with the O’Reilly learning platform.

O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.