A Method Of Transactions System And Application Of Research

Since established in1990, China’s stock market has already gone through24years.As the main participants of the capital market, stock exchange center, listedcompanies and investors have become increasingly mature; the establishment of themarket systems has also been increasingly perfect. A group of investors hasexperienced the bitterness of the worst bear market, also tasted the great bull madness.Someone get rich, someone will lose. In this cruel wealth market, people areconstantly looking for the secret of making money. In this case, how to win thelong-term stability of earnings is the ultimate goal of all rational investors. Tradingmethod discussed in this paper, the research of the system is how to find and solve theinvestors can profit on the sale.This article embarks from the actual, with the guidance of system theory, tradingsystem design and the financial experiment as the main means, the a-share markettrading system research in China.In the second character，the paper discusses the design principle of the tradingsystem, including the Sharpe ratio-one of earnings and risk into consideration at thesame time comprehensive index. Kelly formula, to calculate the time to enter themarket should be the proportion of capital. Investment theory of mind-differentpeople different personality is suitable for the different methods of trading. Completethe design of a set of investment trading system, a designed to pursue the profitpattern of long-term stability. And the effectiveness of the system has made anin-depth experimental analysis.In the forth character，paper focuses on the structure of the trading system,including market approach, investment proportion and exit the market. Constructionprocess of the system is through fundamental analysis and technical analysis method,find the expected revenue is greater than the risk of a positive return tradingopportunities, and then according to the number of their own capital decision canlong-term market holdings, and finally with the change of the future stock withdraw from the market.In the fifth character，trading system in this paper, for the whole optimization,including the market signal validation, the pyramid with warehouse to increase profits,and maximize profits type exit the market strategy.This paper enrich the domestic research about system theory, open up a uniqueinvestment for investors trading method, can be widely used in gold investment,futures, stock index, stocks and other financial derivatives.