An Interplanetary Marriage by Jay A. Leavitt, PhD
The quest to continually improve and update a trading strategy is often part of a trader’s mission—and can be a rewarding one at that, on many levels. Presented here is a new version of a strategy for trading two futures contracts, along with two new indicators that are at the core of the strategy.
In previous articles, I presented several strategies for trading futures contracts, including the moon rocket strategy, the stratosphere strategy (STRAT), and the tech emini strategy (TASC). In my previous articles I also introduced two concepts at the core of these strategies, which I call the Leavitt convolution and the Leavitt projection. The Leavitt convolution (Lc) is based on linear regression and finds a best-fit line. The Leavitt projection is also a linear regression function that finds a line’s slope and sequence of intercepts ...