Even with the release of the book Trend Following, there continues to be confusion as to what trend following is all about.
Here are some statements that are false:
1. Trend following is not about “numbers”.
2. Almost all mechanical trading systems break-down eventually.
3. Price analysis alone is not useful.
4. Trend following volatility makes trend following trading systems more risky.
5. Technical & fundamental analysis together is wise.
6. You must anticipate changes in the market.
7. Fundamentalal analysis will help reduce false entry signals.