Quantitative Trading Systems — Testimonials
Comments Reviews FactoidsComments
"This is a great book. Everyone needs this book."
Tomasz J., AmiBroker.com, speaking at Houston 2007 AmiBroker Conference
"Once again I would like to say that your book is very well written and
provides a very clear way for the beginner to get up to speed with
trading system development using AB."
Tomasz J., email
"First, thanks again for sending me your fine book.
I read it as soon as it arrived and loved it.
The production looks first-rate and the contents are compelling.
You do great work.
Maybe you'll allow me to feature some of your findings in a future issue of Formula Research."
Nelson F., email
"Hi Howard... I just got your book.
I've started reading your book and it is well presented.
Looks very interesting and is philosophically aligned with my book "Evidence Based Technical Analysis."
I hope it gets the circulation it deserves.
I wish you success with your book."
David A., email
"Excellent book. Your depth of knowledge, the clearness with which you explain things,
and the cleanness of your code combine to make your book my favorite and most referenced trading book.
I am looking forward to the next one.
I was having a lot of difficulty with Amibroker before your book and it has helped immensely.
I bought Active Trader Magazine today just for your article."
Balin B., email
"Howard's two days of fundamental and mathematically sound trading was just great - nothing else to add!"
Theo B., commenting on the Las Vegas 2008 workshop
"I want to thank you for your excellent, no superb, clarity in describing mechanical trading systems and the issues therein.
I have several shelves full of books from all the 'authors' and
I have gleaned much over the years even though some of the 'authors' have led me down false paths.
I was impressed by your book (which led me to the conference) and the workshop added to it dramatically.
For me it was a worthwhile trip."
Robert G., commenting on the Las Vegas 2008 workshop
About the book, fantastic. I'm enjoying every moment of it.
A slow read because you trigger so many thoughts that I'm mostly
going of on a tangent and then testing and checking but in the end a very enjoyable experience.
If anybody on this side of the world wants a reference you are more than welcome to point him in my direction.
In the end the whole experience turned out positive, one for your helpfulness and second the material in the book.
Thank you so much for your effort, I really appreciate it.
J.M., South Africa, after some difficulty with customs
The methods and ideas presented in your book are of high practical value and
I'm really surprised that all of the concepts presented can be evaluated using AmiBroker.
AmiBroker is a powerful tool, but without your book it would have been
difficult for me discover all the possibilities that are offered by this software.
Still the most important thing for me is not the use of the software alone but the concepts
presented in your book and the systematic approach to the markets.
Mario A., email
"Thanks for the terrific presentation . . . . I look forward to exploring the book."
Fred W., email
"The inclusion of AB code implies that your systems should be fairly easy to apply with AB,
whereas all other books on trading stop short of the actual implementation."
Bert S., email
"Just put in my order for the book and can't wait.
I believe that AB is one of the better products people can use and am very excited about
a book that really is Quantitative and it uses AB instead of the standard TradeStation."
Alex D., email
"I'm REALLY enjoying your book...
I look forward to putting to use many of the excellent concepts you have written about.
Thank you so much for publishing the book."
Roger S., email
"Finally, having read a bit from the pre-release copy of your new book on your website,
I am really looking forward to receiving your book.
I have used a number of different software packages over the years and Amibroker is currently my favorite.
I think its major limitation is a lack of suitable educational materials which makes the learning curve pretty steep.
It looks like your book will begin to address this deficiency and I commend you for it."
Fred E., email
"I enjoyed meeting you at the AmiBroker conference in Houston and
particularly am enjoying reading the preliminary copy of your upcoming book that you were so generous to give to me."
Bill B., email
"Just received your book in the mail and wanted to say thanks (it arrived quickly and safely packaged too).
I've only started reading the first few chapters and have to say it's a breath of fresh air
when it comes to trading books (especially system design & testing of which there are very few books around).
I'm so glad I bought it (and that you wrote it)."
Paul H., email
"I got your book a few days ago.
I'm impressed with it and will go through all the sections thoroughly.
It's great that you uploaded the code as I hate typing (mistyping) code."
Chris S., email
"I am enjoying your book.
It was well worth the wait and I can only hope you continue to write about Amibroker and trading systems.
Should you decide to write more you have a standing order from me."
Jim W., email
"Thanks so much for graciously sending copies of your book.
You must feel like you've given birth at this point (although my wife tells me I will NEVER appreciate or understand that metaphor).
It is a great piece of work!
Not only is it a great book on Amibroker, but more importantly,
it is a great explanation of how systems development should be done.
I continue to push those in the local groups in Dallas and Houston to order it.
I also think that you chose a good compromise for distribution of the source code."
Bruce R., email
"I like your book so much that I am buying a second copy, for my son this time.
I find it extremely well written, and with a good central concept:
describe how to trade, state the different aspects, give examples, illustrate with AB and simultaneously teach AB.
Awesome!"
Grover Y., email
"I have just come home from a 5 day coach trip,
having read your Quantitative Trading Systems book from cover to cover on my travels.
I am a retired mechanical engineer and as such,
I like to be able to measure the results of changes to a system.
Your book is the "answer to a maidens prayer" as they say."
"Thank you for publishing your works."
Bill R., email
"I also am an enthusiastic user of AmiBroker, and promote it, too.
So, I am just thrilled that you've authored a 'nitty-gritty' type of trading book
that addresses the use and early-learning-curve programming of AmiBroker!!
Knowing you personally, and after seeing the table-of-contents and sample chapters,
what I'd like to do is add YOUR "Q.T.S." book to my 'arsenal' of (in my opinion) the
'Best of the Best' books and platforms to recommend to others.
Guppy's, Tharp's, and YOUR book, would appear to make a DYNAMITE trio to recommend
to others as I encounter interested and 'needy' parties."
Buzz R., email
"I just wanted to thank you for your book.
I have already found your ideas to be very useful."
Bill B., email
"I just received the book you wrote.
Congratulations!, it is a great book and the first one regarding
Amibroker which is a very powerful software."
Oscar C., email
"Excellent. You got my attention.
Completed my first run through your book. Lotsa good stuff, some skipped for now.
What I liked best was Intro to ZigZag, Entries and Exits, Sector Analysis."
Dave F., email
"I received it yesterday.
The book itself?
Well, let me just say, THANK YOU! I'm thoroughly enjoying it and finding it extremely interesting!"
Dennis D., email
"Just wanted to say thanks for a great exciting and thorough book on Amibroker."
Eric P., email
"And thanks for the bubble wrap/rugged packaging and fast delivery!"
[to Australia, HB]
Sir B., forum
"I've read most of your book and run the examples in AmiBroker.
Your book is well written and very understandable.
There's a lot of things I plan to try and your examples make good starting points.
Mike B., email
"I just received your book, and am enjoying the to-the-point writing style,
as it's a refreshing change from the more verbose market-oriented authors I've read.
More to the point, your presentation at the AmiBroker conference has had me eagerly waiting for your book,
as I am prepared to instill a sense of order and discipline to my system development."
Gary S., email
"In my opinion, here is the best book for trading systems that is written with Amibroker in mind.
I give this book 5 stars"
Booker, Yahoo group forum
"I've recently bought Quantitative Trading System.
I would be interested in Trading System Validation.
Please keep me updated when you are going to publish it."
Paolo C., email
"I found your first book on Amibroker very educational and thought provoking for me anyway.
I'm sure I will order your follow up books as they become available. "
Jim W., email
"I received your book over the weekend and am v. excited about what I have read so far.
I just completed Chap 7, Entries and Exits."
Susan J., email
"Thanks for sending me the book so quickly and without all the problems I have when receiving books from Amazon.
Perhaps you should give them a lesson in sending books to Europe.
Takes several months and only after paying the belgian customs the famous Euro 10 for nobody knows what ...
BTW also thanks for the downloaded AFL's. Makes things a lot easier ... "
Ton S., email
"To echo a previous response, my biggest leap forward [in learning AmiBroker] was following Howard Bandy's book,
which, apart from a simple lead in to programming in AB,
has a wealth of useful information."
C.S., email
"Bandy's book is a great read! Combine that with the Tomasz's videos and you've got a lot to get going with Amibroker."
Dennis, email
Reviews
"Written by former university professor of computer science and mathematics Howard B. Bandy,
also a former senior research analyst for a commodity training advisor,
Quantitative Trading Systems: Practical Methods for Design, Testing, and Validation
is a highly technical guide written especially for professionals and students with a
background in basic mathematics, computer science, and commodities training.
Chapters discuss the difference between trading and investing,
compare trading system software, what and how often to trade,
how to use technical or fundamental data, statistically sound validation techniques,
portfolio construction, Monte Carlo analysis, and much more.
Sample computer programs and screenshots of portfolios on the computer illustrate
the principles discussed; most programs and statements are in the user-friendly AmiBroker software.
It should be noted that Quantitative Trading Systems focuses expressly upon
trading strategies that derive from unambiguous mathematical statements,
not any system that relies on subjective judgments (i.e. not chart patterns, trendlines, Fibonacci retracements, etc.)
As a result, Quantitative Trading Systems is highly recommended for the serious,
mathematically fluent investor who is not interested in gambling with his or her hard-earned dollars,
but rather chooses to rely upon straightforward number-crunching analysis of raw data to make his money work for him."
Reviewed in The Midwest Book Review, August 2007
Midwest Book Review — Small Press Bookwatch — Money/Finance
Title: Quantitative Trading Systems
Author: Howard B. Bandy
Publisher and/or Distributor: Blue Owl Press, Inc.
Publisher Website: www.blueowlpress.com
Pages: 368
ISBN: 9780979183805
Price: $49.95
Publishing Date: April 2007
Reader: Bob Spear
Rating: 4 hearts
This is the ultimate manual on technical trading of stocks.
Written by an expert with both university and real world experience in
math, physics, engineering, and computer science, this book focuses on the
quantitative tools available to those who have the expertise and experience to use them.
It is not for the hobbyist who may not have the education or experience to understand all its content.
One really does need higher math familiarity.
An important aspect of the book is the author’s explanation of trading software
and how to couple his scientific/mathematical approach to it.
We ranked this valuable tool four hearts.
Reviewed in Heartland Reviews
Heartland Reviews – Business Books
Quantitative Trading Systems by Howard Bandy is the type of book that begs the question: Just how serious do you want to get about this? If the answer is “really serious,” this is a book that needs to be on your shelf. Howard manages to compress a great deal of practical knowledge and experimentation into just over 300 pages of densely packed text. If you don’t already have a basic grasp of systems and terminology, you probably find yourself referring to the glossary and/or an outside source for the explanation; if you do have that basic grasp, prepare to have your horizons broadened. Howard sent me a copy to review, and I thoroughly enjoyed it.
There are two gripes that always pop up when dealing with books of this type, and that they appear in this review isn’t a sign of any shortcoming in Howard’s work; they’re unavoidable. I have some semantic quibbles and minor points of disagreement, but knowing me, that’s also probably unavoidable.
Quantitative Trading Systems sometimes comes across as an AmiBroker user’s guide. This is the software used to describe the trading algorithms and to test the results, so some level of live examples is to be expected. I suppose that a book like this could be written entirely in pseudo code, but whom would that help? Like it or not, every book on trading systems is held hostage by the software used to test, to whatever extent the book digs into the results.
The book focuses exclusively on technical analysis. I use “technical analysis” in the “old school” sense, meaning that it is confined to data derived from price and volume movement, including indicators build on the same. Unfortunately, these books are difficult to write for fundatechnical or fundamental strategies, for a variety of reasons. Aside from a lack of cheap and broadly available historical data, the historical data is subject to revision, which opens up another can of worms. Indeed, Howard consciously chooses to list reasons for avoiding fundatechnical or fundamental strategies, as opposed to the typical pattern of these books’ avoiding those methods because they’re following the “path of least resistance.” Because of the focus on technical and statistically analyzable strategies, there is a general slant towards systems that trade frequently.
The good news, and there is plenty of it, comes from the completeness and execution of the analysis and presentation. After laying out the five questions of any trading system over several chapters, Howard dives into explanations of the different types of systems. Covered briefly, he includes trend-following, mean-reversion, seasonal, pattern, sector, and rotation systems. He also includes a discussion of portfolios, as well as filters and timing systems.
It should be noted that the author is not trying to provide fish, but is, instead, describing how to fish, starting with selecting the cane to make a pole from. Some of the example systems strike me as “straw men” used to illustrate the principle behind the type of system without providing an actual, working system. The “pattern” chapter comes to mind, here, as many visual chart patterns can be described in code and several simple patterns can be profitably traded, but a single, simple, and non-profitable, example is used by Howard to describe the genre. This is a starting point for designing your own systems, not a book of systems to be bought and used. It also is not a taxonomy of systems inside each category: for that, you have to do your own research.
The remainder of the book fleshes out some other necessities of any well-rounded discussion of quant trading, including a discussion of testing and development. In-sample versus out-of-sample data is discussed, as are statistical tests for validity of the results. Walk-forward and Monte Carlo testing chapters are included.
This is very frankly the best book on trading that I’ve read this year, and one of the best I’ve ever read on the subject of quant trading systems. As a math nerd with an interest in system trading, I’m squarely in the book’s target audience, but if you have interest in the subject but lack the background in math and statistics, I would still strongly urge you to get this book. With time and a little effort, almost anyone can develop enough background knowledge to understand and apply the principles, even if they don’t use the same software used by the author. It all depends on how serious you want to get about this.
Reviewed by Bill Rempel in NO DooDahs
NO DooDahs
"As one of the lemmings, I'll tell you my experience transitioning to AB.
I seriously picked up AB two years ago.
As a non-programmer, I mostly flailed around the first year,
(did the same learning FTDOS), mostly learning important bits and pieces of the program,
just enough to keep me interested.
And it felt like drinking from a fire hydrant.
But, what I lacked was focus as to where I was headed.
To drink from a garden hose.
Howard Bandy has provided that focus.
Read his book.
It's about the principles of system building, but more importantly for me,
it is about AB.
He provides fully functional AFL's that show you how to become a better investor.
He discusses the function of his code, pretty much line by line.
It's a huge step up. I can't over-emphasize the importance of this book.
Some want to see a ready made AB formula that makes good returns, BEFORE devoting the time to learn how to do it.
They want to see a fish, before learning how to catch one themselves.
Fair enough. RUTTRFT exists as an AB file. If somebody wants it, I'll post it.
But, fishing in the investment world is not a static process.
No guarantees the current methods you know will work in the future.
Howard teaches you how to fish in that ever changing world.
That's the first fish you want to really catch. It's all there.
Well thought out and designed. (Even I can understand it.)
Scoop it into your net. It's time.
Maybe I'll attend this conference. (AmiBroker, Las Vegas, 2008).
Haven't been in awhile. Depends on the content.
But, above all, read Howard's book. You won't regret it."
Fred T., posting to a FastTrack discussion group
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Factoids
Copies of Quantitative Trading Systems have been shipped to 35 countries.
The book is shrink wrapped at the printing plant, then wrapped in bubble wrap and a cardboard protector designed for books before being mailed.
The United States Postal Service mailing envelopes are reinforced with plastic tape.
No one has complained that a book has arrived damaged.
No one has complained that the book has been delayed due to customs regulations or customs officals.
Only two books out of the hundreds shipped have gone missing in transport. (Of course, replacement copies were shipped at no cost.)
Quantitative Trading System was published in April 2007.
Advance copies were circulated at the Houston AmiBroker Conference in February 2007
and a few changes made after receiving reader comments.
Two more books are planned:
"Introduction to AmiBroker," which is being written and should be available early 2008.
"Trading System Validation" (which may morph into "Advanced AmiBroker" before it is complete), will be later in 2008 or early 2009.
Howard Bandy will be presenting a two day workshop on "Trading System Design" at the 2008 AmiBroker Conference. Richard Boroff is the conference organizer. Here is a link to the 2007 Conference. Contact Richard for information about the 2008 Conference.
Howard Bandy will be speaking at the NAAIM Conference in May 2008.
A two-part article by Howard Bandy, entitled "Designing a mean-reversion trading system," will appear in the October and November 2007 issues of Active Trader Magazine.
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