009: Gary Antonacci discusses the different types of momentum and how they can be used in a strategy to make profit and protect during a market downturn.
Better System Trader
00:00
Are You Taking Into Account the Volatility of the Move?
When looking at momentum, do you take into account the volatility of the move? For example, if you're using stocks m and you've had a stock that has had a very large move recently, i guess you would expect the stock main revert over the short term. How do you account for that? Well, when you're dealing with stocks, the typical procedure is to skip the last month so you don't get caught up in that mean reversion on a short term basis. Can you use other instruments? For instance, short etes? You can, but a, because of the lags,. Because i have a slower moving approacha, and the market has a tendency to go
Transcript
Play full episode
