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Buying a Computer

Trends in the computing industry and issues to consider before purchasing a new computer or upgrading your current system.


Analyzing, selecting and trading exchange-traded funds

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Using investor sentiment to indentify tops and bottoms in the market.

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Market breadth and momentum indicators to gauge the market's overall direction.

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Screening for and analyzing mutual funds.

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In-depth reviews of online discount brokers and their tools, features and flaws.

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Constructing a portfolio of investments and the issues involved, including risk management.

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Using quantitative stock screening filters to identify possible investment and analyzing individual stocks.

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Determining the "true worth" of a company.

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Using technical indicators and charts to help time your buy and sell decisions.

Tax Preparation

Using computerized tools and resources to prepare and file your personal income taxes.
Computerized Investing > July/August 2000

Building & Testing a Trading System

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by Wayne A. Thorp

To some, “trading system” is an intimidating term. However, simply put, a trading system is one or more indicators or criteria used in a systematic fashion to generate buy and sell signals for a given security. A trading system can be as simple as buying when the price of a security goes above a moving average line and selling when the price dips below the moving average. The complexity of a trading system is bounded only by the user’s imagination.

Beyond indicating when to buy and sell a security based on a set of indicators, trading systems play perhaps an even larger role in investing—they take emotion out of the equation. Well-defined trading systems make the buying and selling process automatic, without the need for subjective decision making on the part of the trader. However, the emotional separation is only possible when you have complete faith in the system and trade it unflinchingly.

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