Worst Trading Period in Decades for Trend Following
I received this message as part of a long time Trend Following Commodity Trading Advisor’s December Update.
Food for thought
The last two years have witnessed the longest prolonged rough patch in commodity trading in decades. Markets have careened and
whipsawed to and fro with few prominent trends in the shadow of prolonged uncertainly, from the persistent European debt crisis to
the US elections and fiscal cliff crisis, on a backdrop of a very weak global recovery following the huge 2008 crash.
Things go in cycles. This is simply another. Market volatility have quieted greatly in the last few months which historically suggest
the worst of the draw down is over. This does not mean there may not be more losses before gains resume. But it is an encouraging
Past Performance is not Necessarily Indicative of Future Performance