In this article I will show that there is the possibility of a profitable edge when trading breakout stocks on high volume days.
However, the edge requires an ability to foresee such high volume in advance. This is no easy task but the data suggests it could be an interesting line for future research. Read more »
The new course Hedge Fund Trading Systems Part Two is now open for enrolment. This course contains five new trading systems that I have developed.
Each system has been run on robust historical data and shows a consistent, profitable edge in back-testing. The rules for each system are fully explained and the Amibroker source code is also provided. Read more »
In this article I implement Ray Dalio’s All Weather portfolio using popular ETFs and I back-test the strategy using Amibroker. The results show nice risk-adjusted returns for investors. Read more »
Whatever your opinions are about the concept of back-testing, there are few better ways to build a trading system than through the back-testing of historical data.
Back-testing allows us to answer critical questions like ‘how many positions should I hold in a portfolio?’, ‘how much risk should I take?’ or ‘how effective was this strategy in the past?’ Read more »
All system developers and traders should keep a notepad on their desk so that they can write down their ideas and keep a record of any back-testing that they do. I don’t know what it is, but there is something about writing down on pad and paper that engages the mind far more so than inputting into a spreadsheet. Read more »
In this article I present a simple and quick trading strategy for shorting leveraged ETFs.
Using historical data from Norgate and the back-testing program from Amibroker I reveal a potentially profitable strategy that could benefit from further development. Read more »
It has long been established that the Kelly Formula provides a powerful equation for calculating the optimum level of risk with which to place a bet in a probabilistic type game. A game like blackjack or sports betting. Read more »
Users of Norgate Premium Data are likely aware that some changes are taking place with regards to their historical data subscriptions. These changes have been made to better serve users and eliminate confusion. Read more »
One of the keys to successful system trading is to be able to combine different strategies together. When you are able to combine less correlated strategies, it is possible to smooth drawdown, boost win rate and therefore improve your overall risk-adjusted returns.
In Amibroker it is possible to combine equity curves together so you can see what the advantages are. Read more »
In this article I look at the advantages of a barbell trading strategy and then I put the strategy to the test using historical stock data. As you will see there are some pros and cons to using this technique.
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