Can Trend Following End In The Commodity Markets?
The question is: Can trend following end? First of all, anything can happen and it will happen. However as a long time trend follower, in my opinion there are numerous reasons why I do not believe trend following can or will end. The question came up when I was in a meeting with an institutional investor earlier in the week and in all of his years exposed just to the equities markets, he was skeptical of trend following. He asked if everyone knew the concept of trend following the results would falter. Interesting question I told him and told him if we were so lucky to read the front page of tomorrows business page that probably would not help us to make money. In my opinion why trend following has worked and probably stands a very strong chance of continuing is the basis of human nature. This is what separates long term successful investors & commodity trading advisors and the non successful investors. After years of observations of the commodity markets, forex markets and stock marke
