Stock Trading Strategy – Backtest, Core System, and Performance Overview

Many people view stocks as a way to make money, and certainly, stock trading has become one of the most popular types of trading since the emergence of the Covid-19 pandemic and meme stocks. Even before then, its popularity among retail investors grew with the emergence of commission-free stock trading platforms, such as Robinhood. But what is a stock trading strategy?

The stock trading strategy is a method of trading whereby a trader trades only one stock at a time. That is, at any given point, the trader focuses all their energy on only one stock (say Tesla or Apple) and tries to learn and know everything about the stock’s fundamentals and technical analysis, which includes the factors that move the stock and the pattern of its price movement.

In this post, we take a look at the single stock trading strategy. We make a backtest at the end of the article.