Value At Risk And Technical Analysis by Luis Ballesca-Loyo
ARTICLE SYNOPSIS ...Value At Risk And
This method uses market volatility and the concept of value
at risk to help determine meaningful stop-loss prices and
position limits for trading securities.
Many traders and investors apply
security analysis techniques, either
technical or fundamental, to
take positions using mechanical
buy and sell signals generated
by their systems. In developing
their systems, time is spent on
developing the entry signals and,
to a lesser extent, the exit signals.
But as a rule, not as much
time is spent reviewing the expected adverse moves typical of
that system and ...