Recent content by Chagi

I won't call myself a stats "expert", but I have completed three university level stats courses so far for my business degree, so I have managed to retain a few things in my noggin along the way. :) The only way that I have ever covered for calculating standard deviation and variance is to plug...

I believe that fund managers adapt the CAPM concept to be index based, i.e. looking at the beta of a given stock in relation to, say, the S&P 500. By using a multi-factor variant of the CAPM, one could compare the historical performance of a stock to inflation, oil prices, etc., which could help...

No problem. The formula for the reward to variability (Sharpe's) ratio is correct, just a matter of plugging in the right numbers, we studied it briefly last semester in my portfolio management class, so let me know if you have any further questions.

This really depends on your trading time horizon, one could easily argue that "trading" could involve holding longer term positions. It's also worth noting that CAPM and variants (such as Fama-French three factor model) are currently part of a University finance education if you take any classes...

A few things here. Please don't take any of the following personally, just providing an honest answer. First, the formula you have for Sharpe's Measure (ratio) is correct, since it is: S = (Expected Return "risky" investment - Risk Free Return) / Std. Dev. of the "risky" investment The second...

Sounds interesting. Keeping in mind that I'm a business student, not a comp sci guy, and that I've only done a single programming course in University (Java), here are a few thoughts I have on why this might be difficult task. One thing I neglected to mention in my previous post is that I...

Hello all, I've been trading for about 6 months now, mostly longer term swing trading, but I've been making a point of spending plenty of time watching the L2 for specific stocks intraday. At first I found that when I was watching the L2, I had no real ability to predict where the stock would...

I would tend to agree. I wish I had higher capitalization, but I still think that I will be able to viably trade once I open an account with a new/better broker (my current one stinks for a variety of reasons).

Thanks for your answer on that, and I will definately write down that book for future reading. I'm currently reading "The Market Maker's Edge" by Josh Lukeman. I'm finding that the book is somewhat redundant so far, since it covers a lot of material that I already found elsewhere on the...

I agree with your post completely, I have already learned some very valuable lessons over a few short months of trading, quite glad that I'm currently only trading with small amounts of money. Having spent a great deal of time learning as much as possible on the Internet, I'm now focusing on...

I think that this is a very difficult question to answer, but here are my thoughts. Personally my current situation and future plans are as follows. Right now I'm finishing up my commerce undergrad degree, have another 1.5 years or so to go, trading fairly lightly over the past few months since...

I'm definately in the "amateur" trader category, which is fair, since I opened my first online trading account in August of this year. One comment that I have regarding trading vs. gambling in a casino is that I always chuckle when people express the view that investing in the stock market is...

Exactly, hopefully it will work out for you.

I must admit, I'm fairly suprised that your shop would have suggested this combination, mostly because I have read of numerous users experiencing difficulties when mixing ATI-based cards with Nvidia-based cards. Both brands are good individually (though my preference lies with Nvidia), but...

I suspect that denominating your account in GBP is okay for swing trading, but isn't such a great idea for daytrading. I live in Canada, currently using a pretty expensive brokerage for my first small forays into equity investing (I'm a business student), so I run into the same issue of...