TradersCALM - Calm Adjusted Edge © "Dedicated to trading with good feelings."                                  All services are free.
	It is assumed you know what a 'true' trading edge is.     The calm quotient is a measure of the good feelings a trader has trading a particular trading system.     The calm adjusted edge is the 'true' trading edge multiplied by the calm quotient of the combination of the trader and trading system with the edge. This definition makes the calm adjusted edge a trader specific measure, but no less a valuable concept for that attribute.     Perhaps an example will help - imagine you have two trading systems A and B.     Also imagine that you are the trader and when executing the trading systems, your calm quotient, or a measure of your good feelings in using the trading system varies as in the table below.     A low calm quotient suggests stress and discomfort in using the trading approach, and a high calm quotient suggests joy and fulfilment in using the trading approach. Trading System     'True Edge'     Calm Quotient     Calm Adjusted Edge       A                          19%                 83%                         16%       B                          38%                 14%                           5% Which trading system do you feel is going to make you more money in the long run and with more satisfaction?     Now you have the concept, help me calculate my calm quotient.		Welcome Self Assessment Links Inner Tendencies What's New Contact Us CALM Secrets Tip of the Week Risk of Ruin