Getting Into the Capital Flow

Published on
November 6th, 2018
Topic
Trading, Technical Analysis, Asia
Duration
12 minutes
Asset class
Equities

Getting Into the Capital Flow

Trade Ideas ·
Featuring Guy Cerundolo

Published on: November 6th, 2018 • Duration: 12 minutes • Asset Class: Equities • Topic: Trading, Technical Analysis, Asia

Guy Cerundolo, founder and president of Cerundolo Investment Research, joins Real Vision for the first time to review his proprietary capital-flow model. He explains how it works, highlights current sell signals and discusses which trades to make, in this interview with Justine Underhill. Filmed on November 2, 2018.

Comments

  • SB
    Stewart B.
    1 December 2018 @ 19:55
    I still gave it a thumbs up as was a little pointless given it was a proprietary indicator.
  • AR
    Abishek R.
    7 November 2018 @ 17:35
    The Nikkei225 is priced in JPY not $.
  • MP
    Mirjam P.
    7 November 2018 @ 09:37
    I‘m confused. Is the mission of RealVision compatible with a black box signal service?
  • DI
    Dabangg I.
    7 November 2018 @ 05:06
    vodoo magic ideas. i wont tell you the secret sauce, and i will tell you how successful i was in the past.
  • CC
    CHRISTOPHER C.
    6 November 2018 @ 23:24
    Sounds like the late great Dave Bostian's Intraday Intensity Index. How is this different?
  • F
    Floyd .
    6 November 2018 @ 22:57
    To me sounds a bit like following OBV and traditional break downs and breakouts.
  • TH
    Tomi H.
    6 November 2018 @ 22:32
    I study, test, code and trade a lot with technical and statistical indicators so I just wanted to leave couple notes here: 1, If I understood right, this seems to be some sort of trend following system with exhaustion projections derived from how much the price history correlates with the future price action. I think the time should be important input here since it has effect on how strong the correlation can be. You can test this claim yourself with any market data and there's also a lot of quality studies published on this subject. 2, Since it was found in the 60's and it seems to be fairly simple system, it should be easily coded and back-tested? So then the most important question here is: If this system has statistically significant alpha (ie. edge) in it, why there's no people/institutions using it? There should be and if it works, then it should stop working because the alpha should decay over time and I think it has already decayed if this was found in the 60's. I doubt that only two people on earth knows what are the rules to this system. 3, I've back-tested and studied thousands of popular technical systems and found that none of them can give you an edge. Maybe 1% of these can give you an edge, but only if you have some creativity on how to modificate the rules in these systems and you know how to use the signals properly. For example DeMark-indicators work quite well, but these days only with modifications from the original rules. That's because the original system worked until everyone started using it and the alpha decayed. I want to see statistically significant results with in sample and out-of-sample data and in addition to real life trading with the system before I buy any claims about the system. I'm not saying this system/indicator isn't useful - It might be a good addition to other decision making tools. Who knows. But I'm very skeptical that this type of simple trading system using price input only straight from the time series data has any alpha.
    • PD
      Paul D.
      7 November 2018 @ 08:24
      'I doubt that only two people on earth knows what are the rules to this system.' Col. Sanders would disagree with you there Tomi
  • tt
    ted t.
    6 November 2018 @ 18:36
    Hes just describing Rob Lamortes unit theory. Nothing this fella developed. unit 1 targets units 3 and 4........
    • SL
      Seth L.
      6 November 2018 @ 21:12
      Care to elaborate on this? Can you share a link to his work? I'd love to read up on it.
  • HH
    Hugh H.
    6 November 2018 @ 12:49
    Check out their website. There are pretty good articles you may use for your trade. I just bookmarked it. https://www.cerundoloresearch.com/articles/Product_Info
    • HH
      Hugh H.
      6 November 2018 @ 13:06
      I think their research paper is superior to some of RV think tank. It will be great if RVTT can get their latest paper at some point.
  • sm
    stephane m.
    6 November 2018 @ 11:09
    Sadly, I gave a thumb down cause his trade idea should have been presented here last summer... It's like me saying to you:"Hey you should buy XYZ at 10$, it's going to 12$ and, by the way, I bought it at 5$!! He should be back with a REAL timely trade sometime ;-)

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