Just read mark shipmans guide to investment. Theory seems to work when applied to index but i tried to apply to euro sterling and the results were not conclusive.
buy signal in mark, sell in may, 2.5% gain
buy signal in early august, sell in end of november, loss of almost 6%
Can someone explain why the moving average theory was thrown out so much on this currency pair? This sort of result makes looking at applying the same to shares a little difficult to commit to. I had read that the theory was designed to protect against downside and maximise upside.
buy signal in mark, sell in may, 2.5% gain
buy signal in early august, sell in end of november, loss of almost 6%
Can someone explain why the moving average theory was thrown out so much on this currency pair? This sort of result makes looking at applying the same to shares a little difficult to commit to. I had read that the theory was designed to protect against downside and maximise upside.