Ep. 977: Trend Following Kick Ass Reminder with Michael Covel on Trend Following Radio
Michael Covel's Trend Following
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How to Avoid Overfitting of Back Tests
Nissim Talib talks about so-called Black Swan events. He's talking about these things that are basically not, you don't necessarily see them in historical data but then they happen. Many of the managed futures trading strategies obviously are trend-following and predicated on not really knowing what's going to happen next. A lot of their risk premium comes from hedging. But I was thinking that you really need to have an economic thought process as to why this particular strategy might work.
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