Zacks Rank #1 is based on expected positive price action after positive estimate revisions. Look at the attached “und” file how I select the best 12 out of that pack, making sure I don’t get penny stocks or micro caps, and I have enough trading liquidity for my money management. Hedging is the art of pairing risks of the same kind. So I pair my best ZR1 bets with the worst shorted ZR5 bets (look for second “und” file attached). RW doesn’t allow you to combo a long trade with a short one, so you have to export both strategies to Excel and add the gains/losses of the corresponding periods of both strategies. Over 12.5 years, your maximum drawdown is 11%, annual compounded growth rate is 30%/year, average weekly gains are just over half a percent, and YTD you got 17%. The first chart shows the performance of the added gains/losses, the second one takes the average of the two and makes the hedging equally weighted (Hedging ratio=1).

Kevin, how difficult is it to make hedging available through combo’s in RW?         

Attach file (image (.gif, or .jpg), screen (.und) or report (.rpd))
at 04/03/14 11:19 AM : RE: Hedging with RW

Blue Zero III
attachment files at 11/17/14 11:07 AM : RE: Hedging with RW

at 04/27/14 5:12 PM : RE: Hedging with RW

at 04/16/14 9:14 AM : RE: Hedging with RW

at 04/03/14 9:50 AM : RE: Hedging with RW

at 07/17/12 4:23 PM : RE: Hedging with RW

at 07/20/12 3:19 AM : RE: Hedging with RW

Attach file (image (.gif, or .jpg), screen (.und) or report (.rpd))

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