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Channel Midpoint indicator
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AT-July 2006-8
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Detailed Description
This system attempts to address one of the drawbacks of most trendfollowing systems: The tendency toward low winning percentages, with most profits coming from a small number of exceptionally large winning trades and the remainder of the trades consisting of small winners and losers. A low winning percentage along with the frustration of weathering extended nontrending periods during which a system will get "whipsawed" back and forth can make it difficult for traders to stick with a strategy that, on paper, appears capable of generating profits in the long run.
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