Category: Money tips Release Date: 2007-01-14
"Blind cat come across a dead rat," Everyone familiar with the adage that, if someone asked you: blind cat can catch it live mice? The answer is yes, of course, the premise is to give cat fitted with a radar.
The stock market, maybe you like the above blind cat: In the face of such a huge market that exist in a large number of real or false information, and insider trading, you are very difficult to tap into the valuable information, and information gathering are obviously vulnerable. This is also a lot of investors to abandon fundamental analysis technical analysis in favor of a very important reason. However, due to the imperfections of their own technical analysis, plus the majority of investors can not properly view and use of technical analysis, resulting in the end they are always in a less profitable or loss-making even stuck situation.
Achievement of the highest-paid model of "migrant workers"
2005 is the highest annual revenues Renaissance Technology, Inc. (Renaissance Technologies Corp.) Chairman of Simmons (James H. Simons), annual income of up to 15 billion U.S. dollars, world famous speculative Soros (George Soros) only row Third, the annual income of 8.4 billion U.S. dollars.
The beginning, Simmons decided to set up a pure trading hedge funds. He closed the Limroy, and in March 1988 set up the Medallion Fund, initially mainly involved in futures trading. 1988 earnings of the fund by 8.8% in 1989, has begun to loss, Simmons had to cease trading in June 1989. Over the next six months, Simmons and Princeton University mathematician Lefel (Henry Larufer) re-development of the trading strategy, and from fundamental analysis to quantitative analysis.
Later, medallion Fund mainly through research and market data to find statistical correlation to predict the futures, currencies, stock market short-term movement, and through thousands of fast short-term trading days to capture the fleeting market opportunities, trading large amount of sometimes be able to account for the NASDAQ trading volume of 10%. When trading began, the transaction model of the decision and timing of the sale of species, 20 dealers were to comply with directives in a short time a large number of transactions of various U.S. and overseas futures, including commodity futures, financial futures, stocks and bonds.
Simmons uses fundamental analysis, we can say that he's investment results were not good, and when he turned to the number of analysis, relying on mathematical model of Simmons was successful, and beyond all the traditional investment fund managers, and to win a "model of Mr. "'s reputation.
Opportunity to compete = tool of competition
1, the current investment competition in the financial sector, that is, investment vehicles and investment strategies of competition. The quality of investment vehicles, will directly determine the effects of a person's good or bad investment.
2, using mathematical models or trading system to arm itself, which investors have no experience is a wise move, in the information you may not be accounted for advantage, but you can by trading methods and trading strategies to compensate, so that my In the fierce market competition can not lag behind others.
Now, you can still get a stable profit results, but not necessarily because you can not come into contact with or come into contact with the number of insider information, but rather when you are in the investment market is a blind cat, you should use the trading system, the radar armed themselves.