“If you are so worried about algos, why don’t you look at Python? Read up on it. Cloudquant, Quantopian. The tools are there, the information is there, for free.”
Crowdsourcing in fund management and trading is the move to utilize anyone with an internet connection to participate in the research with the goal of finding new and better ways of trading. During the discussion the differing approaches being taken with the business models, and the technology, and the challenges each are facing.
“Chart pattern trading is a style that is more suitable for recreational trading rather than professional. This is one reason it was never considered seriously by the majority of hedge funds. In addition to requiring patience, slow chart pattern formations offer enough time for detection and competition is high at diminishing returns.”
Join us at the NY MarketsWiki Education to hear Morgan Slade’s thoughts on the The Algorithmic Trading Tesseract brings cloud computing, alternative data, machine learning, and crowd researchers together forming a revolutionary crowd in the financial industry.
LearnToTradeTheMarkets.com published a very interesting article advocating Why You Should Almost Never Manually Close Trades. This post goes into detail examining that most traders “self-sabotage.” In other words, traders are their own worst enemy. They get emotional when trading.
If you are an algorithmic trader, developer, or data scientists they you have already heard of the Sharpe Ratio. Many of you use this measurement as your score card for how well your algo performs.
… Maybe the experts can beat the monkeys after all. That is, if the experts are software engineers writing sophisticated algorithms for computer-generated trading. …
Algorithms are aimed at optimizing everything. They can save lives, make things easier and conquer chaos. Still, experts worry they can also put too much control in the hands of corporations and governments, perpetuate bias, create filter bubbles, cut choices, creativity and serendipity, and could result in greater unemployment.
Wesley R. Gray (@alphaarchitect), the CEO and CIO of Alpha Architect, a quantitative asset manager published a list of “high-quality research produced by financial professionals in the blogosphere” on the Wall Street Journal
Bloomberg recently wrote that “It’s no secret that hedge fund managers are always looking for new sources of data that will help them in their never-ending quest to beat the market.” (1) One of the most interesting new sources of data is social sentiment.