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Superoptimism is a behavioral bias due to many causes, most of which are either unknown or difficult to identify. Avoiding superoptimists should be part of risk management in every aspect of life, including the markets. Lately, we see many superoptimists: ...

Using delisted series from Norgate Data, we analyzed the impact of Dow-30 stocks on an equity long-short trend-following strategy for the S&P 100 constituents. Suppose we want to determine whether, excluding Dow-30 stocks, a long-short equity trend-following system with the S&P ...

After a long period of higher interest rates, the Fed surprised with a 50 basis points cut. It is now time to review interest rate volatility and its implications. After an extended period of 0% interest rates and quantitative easing due ...

Trying to understand how the economy works for investing in equity markets is a difficult task that can lead to failure. Smart investors take the beta with minimal effort. Here is an example. Everyday, there are thousands of posts on financial ...

How long of a track record is required for determining if a fund manager or trader is skilled? The answers may surprise you. In a recent Meb Faber podcast with professor Kenneth French, there was an intriguing discussion about skill vs. ...

For retail stock market investing, understanding the macroeconomic environment and the actions of the central banks is not required. Relying on macroeconomic analysis is difficult due to the subject’s complexity. Macroeconomic analysis is a fascinating area with conflicting opinions. The sample ...

About two years ago, the SPY ETF experienced oversold conditions for more than two days. Momentum has moved into high-risk territory. On September 27, 2022, the 14-day RSI stayed below 30 for three days, marking the last oversold period for the ...

Using the Norgate Data functionality, it is simple to plot the unadjusted stock close. How to do it in Amibroker is shown below. You can use the Norgate Data function that returns the unadjusted close on various platforms, but here I ...

The rules for three high-alpha strategies are now available. The strategies follow simple rules and trade ETFs. The high-alpha strategies are suitable for traders and investors with basic knowledge of programming and testing rules on backtesting platforms. We provide only the ...

On Monday, August 5, 2024, equities took a dive and managed futures ETFs plunged, but strategies that buy the dips were up for the day. Due to a rare mix of economic uncertainty and geopolitical turmoil, equities took a dive on ...