tomand -- if you can't get shares to short you have to try
calling the broker and asking them to set aside shares for you to
short, or else you can't so the system. Many people
including me have that problem with Tradestation actually -- shares
are often not available to short. Another approach is to
trade the opposite ETF based on the signal from the ETF the system
follows. So if its an SRS system, when you're supposed to go
short SRS, go long URE. The problem with this is that if
you're paying per-share commission, a stock like URE gets very
expensive to trade. So you need to open a second account and
have that account on a per-trade commission basis.
Maybe someone here who uses TOS can help you regarding setting
it up -- but otherwise you just have to do the homework to learn
the platform, a little at a time. These platforms all have
significant learning curves. On a comparative basis I still
know nothing about Tradestation and I'm rooting around the help
sections and the forums all the time trying to figure things
out.
But can't assume that say buying the long ETF will give you the
same result as shorting the short ETF. Sometimes it's surprisingly
different. Only backtesting can give you some confidence about
that. Example my testing on SKF 29/86 -- so far I don't have a good
alternate for the SKF short signal (IB doesn't have shares). On any
given trade (like yesterday) UYG or XLf might work but testing from
12/08 or later did not show good results at least on my tests.
no, the signals on the opposite ETFs don't work well at
all. But doesn't work too bad to buy the other ETF on the
signal from the one the system is based on. Not ideal,
certainly.
Hey -- maybe we're breaking down now.............
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
tomand -- if you can't
Newbie question about EOD systems
Posted by Michael on 18th of Mar 2009 at 09:10 am
tomand -- if you can't get shares to short you have to try calling the broker and asking them to set aside shares for you to short, or else you can't so the system. Many people including me have that problem with Tradestation actually -- shares are often not available to short. Another approach is to trade the opposite ETF based on the signal from the ETF the system follows. So if its an SRS system, when you're supposed to go short SRS, go long URE. The problem with this is that if you're paying per-share commission, a stock like URE gets very expensive to trade. So you need to open a second account and have that account on a per-trade commission basis.
Maybe someone here who uses TOS can help you regarding setting it up -- but otherwise you just have to do the homework to learn the platform, a little at a time. These platforms all have significant learning curves. On a comparative basis I still know nothing about Tradestation and I'm rooting around the help sections and the forums all the time trying to figure things out.
Title: when you can't get
Posted by bkout3 on 18th of Mar 2009 at 11:30 am
But can't assume that say buying the long ETF will give you the same result as shorting the short ETF. Sometimes it's surprisingly different. Only backtesting can give you some confidence about that. Example my testing on SKF 29/86 -- so far I don't have a good alternate for the SKF short signal (IB doesn't have shares). On any given trade (like yesterday) UYG or XLf might work but testing from 12/08 or later did not show good results at least on my tests.
no, the signals on the
Posted by Michael on 18th of Mar 2009 at 11:38 am
no, the signals on the opposite ETFs don't work well at all. But doesn't work too bad to buy the other ETF on the signal from the one the system is based on. Not ideal, certainly.
Hey -- maybe we're breaking down now.............