Anomalies and the Portfolio Effect, 01/13/06
There should be a portfolio effect when trading models are based on different classes of anomalies (see The First Law of Anomalies) - an effect that buffers trading results against ever-changing-cycles.
To that end, a (partial) list of classes of anomalies:
Fundamental
Statistical
Bayesian
Visual
Seasonal
Behavioral
Structural
Cyclical
Temporal
Symmetrical
Metaphors (biology, physics, astronomy, geology, etc)
Analogies (turf betting, black jack, naval battles)
Exogenous (based on an outside time series)
Based on number systems (base 10, base 2, hex, etc)