For those of you who have not read the book (and it is well worth a read) Van Tharp discusses money management by saying that with correct money management you can get a profit even with a coin flip random system.
He Says
'Our system was very simple.We determined the volatility of the market by a 10 day exponential moving average of the average true range. Our initial stop was three times that volatility reading."
Could anyone tell me what this means .
Thanks
max
He Says
'Our system was very simple.We determined the volatility of the market by a 10 day exponential moving average of the average true range. Our initial stop was three times that volatility reading."
Could anyone tell me what this means .
Thanks
max
Gravity goes both ways in forex...