E-Ratio from the Turtles

[zwoop]

Just read the chapeter in WOTT on the Edge-Ratio. I love the idee but then again as always how useful is using past data to detarmaning future profits, it is always arguably. Do you know anywhere where the E-Ratio has been used and tested as an indicatior for backtesting professional systems? I would like to read more about it and know what people thing about it, cant find any info on google or in the forums about it?

 

[charliechan]

you said:

how useful is using past data to detarmaning future profits,

its no use.

every second is unique in every way. that pattern you have built belief in is now happening but in totally different sentiment/news/context. will you still trade it?

mechanical traders must.

intuitive traders have the choice.

back testing has to assume a mechanical approach that has no understanding of market context that a good trader will always consider.

past events are no guarantee of future events. the beat goes on....