Are you looking for a way to enhance your trading strategies and improve performance? Enter AI TradingView – a powerful tool that revolutionizes the way traders analyze and test their investment strategies. In this article, we will delve into the world of AI TradingView, exploring the concept of backtesting strategies and performance. So, buckle up…
Many of the best traders use some kind of mechanical trading strategies and rules when trading. “Mechanical” implies that the rules are based on objective rules, usually quantified data. The trader should follow these rules precisely without hesitation or emotion. In this respect, mechanical trading is the complete opposite of discretionary trading. In this article,…
Trading performance and strategy metrics are important parameters to evaluate the quality of your trading strategy + both for your live trading strategy or if you are backtesting. Just looking at the end result, the CAGR or the annual returns, might be very misleading. If you’re a short-term trader we are pretty confident in saying…
Artificial Intelligence trading strategies (AI) refer to the use of computer algorithms and software to analyze market data and make trades. The algorithms are trained using machine learning techniques to identify patterns and trends in market data, use them to make predictions about future price movements, and trade the market accordingly. The use of Artificial…
Discretionary trading is becoming increasingly difficult and even unprofitable, as the markets have become more efficient. This is why smart traders now make use of data-driven strategies. But what are they? Data-driven strategies are essentially a method of trading that is based on data analysis and automated trading using computer algorithms. That is, trading algorithms…
Curve fitting is when a strategy or edge is not fit to market behavior, but market noise, leading to failure in live trading. Curve fitting is overoptimization that is unlikely to fit into future unknown data. You have probably read about curve fitting in trading books, trading magazines, and social media. The danger of Curve…
Monte Carlo simulation in trading and investing is a tool frequently used in blogs and backtests. Can Monte Carlo backtesting be used to measure risk and uncertainty? Yes, it turns out you can use it in the financial markets: Monte Carlo simulation and backtesting in trading (and investing) is a statistical tool to measure uncertainty…
If you have come so far in your trading that you rely on backtesting to validate your trading strategies, you definitely are ahead of the masses. Most people haven’t understood that all strategies and patterns they want to trade need to be validated before they may go ahead and risk any real money. However, while…
Does quant trading work, and if so, how can you make quant trading work for you? Quant trading (quantitative trading) might sound complicated, but don’t let the terms scare you away from trying or digging deeper. Quant trading can be very profitable if done correctly. Quant trading does work. We believe quant trading is the…
Mechanical Trading Strategies Vs. Discretionary Trading Strategies When it comes to trading, you are either using mechanical trading strategies or trading at your discretion. What is the difference, and which is better? Let’s find out. Mechanical trading strategies refer to automated trading using trading algorithms with pre-set instructions. The primary purpose is to remove as…
