Perry brings up an important point regarding unexpected sudden stock market plunges like 1987. Fortunately the large 1987 fall was preceded by declining moving averages which alerted investors and traders to completely exit once the index undercut the 10-week EMA line. The more recent February to March, 2020 Covid flash crash was avoided by multi-millionaire stock trend traders Dan Zanger, and Mark Minervini. Their decades long intuition enabled them to sell all their positions by late February 25. For other traders a high volume bar closing below the 10-week EMA was sufficient to exit all long positions. At the latest, all long exposure closed out when SPY closed just below the 20-week EMA line. Regardless of what trading model is used to trade the U.S. stock indices or ETFs, brief once per day daily monitoring is essential.
![046: Perry Kaufman on building algorithmic trading strategies [AUDIO ONLY]](/img/1.gif)
an actual rocket scientist turned trader! thanks for this. i learned from his nephew don kaufman, maybe u should interview him next!
Perry brings up an important point regarding unexpected sudden stock market plunges like 1987. Fortunately the large 1987 fall was preceded by declining moving averages which alerted investors and traders to completely exit once the index undercut the 10-week EMA line. The more recent February to March, 2020 Covid flash crash was avoided by multi-millionaire stock trend traders Dan Zanger, and Mark Minervini. Their decades long intuition enabled them to sell all their positions by late February 25. For other traders a high volume bar closing below the 10-week EMA was sufficient to exit all long positions. At the latest, all long exposure closed out when SPY closed just below the 20-week EMA line. Regardless of what trading model is used to trade the U.S. stock indices or ETFs, brief once per day daily monitoring is essential.
Great interview Mark, thanks for sharing! I have followed Perry's valuable work for years.
Loved this first episode Mark. Fantastic guest!
Kudos Mark. Perry is a gem.
Mark, please interview Perry's wife next.
Haha, great idea!