In the autumn of 2007 a trader posting on Forex Factory under the handle Peter Crowns opened a thread titled "No Free Lunch but all the Free Coffee you can drink." The opening post was a single screen of rules. The thread ran for more than six hundred pages, and the rule set crystallised into the DIBS method - Daily Inside Bar Setup.
This book is the formal cousin of that thread. Every rule of the DIBS method is given an equation, a derivation where one is possible, and a fully worked numerical example. Every figure is generated from the same equations and the same price logic. Every backtest is reproducible from the Python source listings printed in the chapters on implementation.
The book builds the method from first principles - random walks, expectancy, volatility filtering, equity-curve geometry - and ends with the question every trader must eventually ask: how do you tell whether your edge has died, or whether you are simply living through a two-sigma losing streak? There is a test for that. It is in the book.
Inside:
For traders, programmers, and anyone who would rather understand the method than merely believe in it.