Ep. 544: Serenity with Michael Covel on Trend Following Radio
Michael Covel's Trend Following
00:00
How to Buy a Trend Follower on Sale
The idea, buying a trader on sale. Well, if you figure out about what drives trend following, trend following is driven by the fact that there's asymmetrical returns. During that type of an environment, trend followers are not going to make money because there's no trend to follow. Those types of trades more than pay up for all the losses during the sideways periods. Rebalance yourself when one trader makes too much money and is getting really leveraged and going crazy. Maybe you back off some money there and you spread it amongst other traders that are acting a little more conservative.
Play episode from 58:44
Transcript
