Seasonality, Cyclicals and Statistics: Probability rules!
Tuesday 12th November was the eagerly awaited STA monthly meeting with Dimitry Speck, creator and founder of Seasonax, presenting his ideas and software system. Unfortunately the poor man got Covid but had, at very short notice, managed to rope in a substitute. This was Giles Coghlan who is well versed with the system and has presented it at other venues.
Speaking clearly and fluently (maybe because of stints as programme leader, Chaplain and lay pastor), he obviously knows the Seasonax product inside out. It does look relatively simple to use, a series of templates where in the top-left box one types in the code of the instrument one wants to analyse. He’s been using technical analysis since 2009 but he claims to be more of a macro based thinker in his many roles as FX and market analyst. He passed the CMT exam on his first go in 2023.
Seasonax claims to cover over 25,000 instruments, examples shown in this presentation had a history of 25 years in their database (I wonder where they get this). All statistics used are based on past performance, few (other than the German Dax index where they seem pretty keen) having intra-day data. The thinking behind seasonality is explained in layman’s terms, like weather, window dressing, pay day and end of year financial decisions.
They have recently been adding analysis of market moves following the release of key economic data, major events and other reports. For each instrument one can see the probability of a trending market over any user-specified time frame, percentage profitability and maximum drawdown. A clever idea is using the latter to determine stop-loss levels. Screens for shares, sectors and Exchange Traded Funds are available.
STA members are entitled to a 20% discount on their product by using the code: sta20 via https://www.seasonax.com/.
Tags: cycles, data, probability, seasons
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