This article will explain how to backrest a Weighted Moving Average in Python. In the first part, there will be a brief introduction and explanation of this indicator. Subsequently, we will implement a Python example to calculate the result of the trading strategy. Finally, we will implement a for-loop with our strategy. Related reading: What…
This tutorial will explain the procedure to build a Simple Moving Trading Strategy in Python; it will begin by explaining the indicator and subsequently implementing a Python example. Related reading: What is a simple moving average (SMA)? The SMA is a trading indicator that calculates the average in a range of days; it is for…
In this article, we will go through the Sharpe Ratio indicator, explain its meaning, its importance, and provide a practical example. In short, we show you how to calculate the Sharpe ratio in Python. Related reading: –Algo trading strategies Python (Backtesting, Code, List, And Plenty of Coding Examples) First, Let’s explain why volatility matters: The…
Traders use a wide range of indicators when trading. Among the most popular are the momentum and mean-reversion indicators, but there also exist indicators that measure volatility, such as the average true range. Let’s make an average true range (ATR) trading strategy in Python. The Average True Range (ATR) is a volatility indicator that, unlike other…
Python is one of the most popular programming languages in the world and almost a must-have skill if you are going into finance. However, there are still lots of people that don’t know how to use it. So, how do you get started with Python to make a trading strategy and backtesting? This article is…
There are countless technical indicators that traders look at. Among the most popular that try to gauge momentum are the RSI and the stochastic indicator. However, today, we will learn about one that is not so well-known: Chande momentum oscillator (trading strategy). The Chande momentum oscillator is a technical indicator that measures momentum through the…
Python has become a popular language among traders and financial analysts due to its versatility and extensive data analysis and visualization libraries. One powerful application of Python in the trading world is backtesting strategies, allowing traders to evaluate the performance of their trading ideas using historical data. Today we show you a Python Bollinger Band…
Triple Exponential Moving Average (TEMA) This indicator is used to identify the trend, retracement, and potential support and resistance. After the development of the Double Exponential Moving Average (DEMA), Patrik Mulloy enhanced the indicator and developed the TEMA. The interpretation of the indicator is similar to a moving average; when the indicator goes up, it…
Python is one of the most popular programming languages in finance. It is widely used for data analysis, machine learning and, of course, backtesting trading strategies. Today we will show you how to calculate and backtest a MACD, Moving Average Convergence/Divergence (MACD), trading strategy using Python. As you will see, it doesn’t take a computer…
In this tutorial, we will implement a trading strategy using the ATR indicator. The first part will explain this indicator. Then, we will show a practical example in Python using the SPY data. Throughout this tutorial, we will implement various Python functions. This is how I build a profitable ATR-based trading strategy with Python. Related…
