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Hari Seldon Trader

and his trading model for long-term investors

 

0. Definitions - glossary

Definitions / Glossary

  • S&P: Standard & Poor’s 500 index
  • NDX: Nasdaq Composite index
  • $TQQQ: ETF based on daily peformance of Nasdaq with 3x leverage
  • $QQQ: ETF based on daily peformance of Nasdaq with no leverage
  • $UPRO: ETF based on daily peformance of S&P with 3x leverage
  • $SPY: ETF based on daily peformance of S&P with no leverage

[these are popular ETFs with 3x leverage or no leverage, but there are many other ETFs from other issuers / traded in other countries. Investors should look for the better ones for their trades -  read here]

  • HST or Hari Seldon Trader: an investor who wants to see his investment to grow in the long term, applying a model called HSTM
  • HSTM: Hari Seldon Trader’s Model
  • HSTv2: variant 2 of the HSTM (using 3x leveraged ETFs)
  • HSTv5: variant 5 of the HSTM (using non leveraged ETFs)
  • AL Aggressive Long: position of the HSTM suggesting to go long in the NDX market, using an adequate ETF
  • ML Moderate Long: position of the HSTM suggesting to go long in the S&P market, using an adequate ETF
  • Cash: position of the HSTM suggesting to keep money in cash, temporarily not invested
  • mkt: financial markets
  • bear market:  a period of time where the stock markets lose a big part of value (30% or more)
  • correction: a period of time where the stock markets lose a smaller part of value (10%-30%)
  • bull market: a period of time where the stock markets gain value, or do not lose a big part of it  (drawdowns of less than 30%)
  • invested capital: part of the investor’s capital which is dedicated to the application of the HSTM. read disclaimer
  • G-B: Benjamin Graham and Warren Buffett: Author and commenter of the book “The Intelligent Investor” 1973-2003

Who is Hari Seldon

(from Wikipedia)

Hari Seldon is a fictional character in Isaac Asimov's Foundation series.

In his capacity as mathematics professor on the planet Trantor, Seldon develops psychohistory, an algorithmic science that allows him to predict the future in probabilistic terms. On the basis of his psychohistory he is able to predict the eventual fall of the Galactic Empire and to develop a means to shorten the millennia of chaos to follow. The significance of his discoveries lies behind his nickname "Raven" Seldon.

Our team decided to dedicate this work and this model to this amazing character, creating the even-more-fictional character of "Hari Seldon Trader".