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Author Topic: Delay Filter clarification, please.  (Read 29984 times)
boingo
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Posts: 4


« on: September 13, 2017, 06:02:04 PM »

I'm still a bit confused by the delay filter that is used for the Ultimate portfolios.  And please forgive me for my amateur knowledge in this.  I am new to investing but am very much eager to get my finances in order and your program seems a great choice for me.

So, regarding the delay filter.  So it's a delay imposed by your software for 1,2,3,4, or 5 weeks before it performs an actual buy/sell into/out of the portfolio? So in that delay period i assume then it gathers more data about its underlying stocks and if during that period it changes it minds it will do so (e.g. if at the end of the day it wants to sell all holdings then it must wait 1 week for Ultimate v1 and if during that time the holdings performance changes then that sell is cancelled).

So then i assume this mean the software does not send email alerts on its intentions to buy/sell for 1 (or more) weeks or will one still get email alerts each day about the software intentions to buy/sell.  I'd prefer to get email alerts for say Ultimate v4 and v5 only.
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DCA
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« Reply #1 on: September 17, 2017, 12:36:34 PM »

Hi boingo,

SSP is essentially a momentum strategy.  What we want is to buy a stock at a low price that is quickly going up to a high price and then sell.  The trick is not to be leaping in to early on a stock that might have only had one quick small move or to be too late and buying a stock as its bubble bursts.

Each portfolio just waits the given number of weeks after the base one and issues a buy if the base is still holding at that point.

The four week delay does seem to be the best.

Often I use the picks in the base portfolio to do research into the stocks - if I like what I see I might buy early.  Otherwise I wait the four weeks.

D
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garilou
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« Reply #2 on: May 15, 2023, 11:45:05 AM »

Hi, I am answering a little (more then a little!) late.

By the way, Hello DCA, long time no see.
And hello all SSPs.

I just wanted to add to DCA’ s reply, mainly to this part of your question,
 “So then i assume this mean the software does not send email alerts on its intentions to buy/sell for 1 (or more) weeks or will one still get email alerts each day about the software intentions to buy/sell.  I'd prefer to get email alerts for say Ultimate v4 and v5 only”

Most portfolio especially the Momentum portfolios, receive orders only once a week.
You may ask to receive the buy/sell orders only for the portfolios you want.
 
The SSP investing is much much more complex then only issuing buy and sell orders. It is a whole sophisticated method to balance and rebalance your portfolio. And it’s theoretically only by following the rules that one will profit at best from the algorithm.
It is a lot of calculations  though, and I had it all programmed in an Excel sheet.
In fact, there were some problems to trying to follow exactly, part of those problems were
1. Considering the fees that are not taken in account by the algorithm,
2. Buying exactly at the closing price  Cheesy
3. The portfolios are always considered as fully invested.

Even if portfolios  4 and 5 seem the most profitable, I find it useful to receive the orders for all 5 portfolios once a week.
It allows you either just to keep an eye on the new stock ordered “buy” and buy it when it reaches portfolio 4.
Or buy right away a small position, sell if it doesn’t make it to portfolio 2, or add a little bit to your position each time the stock gets a buy order in the next Momentum portfolio.

For sure you’ll have to rebalance a bit - unless you have a cash source never empty. But the idea of the algorithm is to start with a certain amount and keep it fully invested.

But I think the most important thing to do it as close to the SSP formula as possible and that seems counter intuitive to many: add to your winning positions, and diminish your less winning or your loosing position.
So many people try to average down, buying more when one stock’s price goes down .  It is tempting… but the stock bought cheaper does not erase the loss made previously.

I’ve been silent but following SSP for way more then 10 years now.
Really the best I’ve seen. Worth clicking on their adds once in a while.  Cheesy
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