Quote Originally Posted by Pascal View Post
Neil,


I might have been un-precise somewhere.
The IWM Robot does not trade neutral signals, but trade all the other signals.

The GDX Robot has not been changed.


Pascal

Thanks Pascal,

Of course the robots don't trade neutral signals, but they do trade Buys and Strong Buys alike. My original question at 3:59 applied (perhaps mistakenly) to both GDX and IWM: "Is it still true that "strong buy" and "strong sell" are the trades that can be expected to deliver 80% of the robots' gains while they represent only 20% of all trades?"

Billy answered with the IWM pdf, which seemed to show that both returns (in the equity curve) and risk (in the drawdown analysis) favored trading only Strong signals. So my question: Why should I trade any but Strong signals?

And was I mistaken that a similar dynamic applies to GDX, even with no changes?

I will limit myself to two questions per post.

Thanks,

Neil