Category Archives: Trading System Synthesis

Quant Trading Without Neural Networks or Genetic Algorithms

Price Action Lab is a tool systematic and discretionary quant traders can use to discover algos that are based on pure price action and thus avoid the problems associated with the use of indicators and their parameter optimization that often leads to curve-fitted performance … Continue reading

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A Trading System for Eliminating Overnight Risk Exposure

I have started testing a system for trading S&P 500 stocks that completely eliminates overnight exposure by entering all trades at the open and exiting everything at the close. Signals are based on p-indicator scans followed by discretionary filtering.  Share

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The Fundamental Problem of Backtesting and Why It Has Not Helped Much Technical Traders

Trying to discover an edge by randomly backtesting ideas is equivalent to looking for a needle in a haystack. More than 25 years have passed since backtesting software became available to retail traders and the difficulty in finding an edge persists … Continue reading

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Software for Quantitative Systematic and Discretionary Trading

Trying to discover an edge by randomly backtesting ideas is equivalent to looking for a needle in a haystack. More than 25 years have passed since backtesting software became available to retail traders and the difficulty in finding an edge persists … Continue reading

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Price Action Lab Software

Price Action Lab software can assist both system and discretionary traders in identifying short-term opportunities in the markets and assessing their significance. A number of lifetime licenses are now available to qualified customers. Share

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Dealing with Long/Short Data Bias When Developing Trading Algos

A fundamental principle of trading system development, whether automatic or manual, is that the data sample used to test hypotheses must include a wide variety of market conditions. Systems developed on data samples that are biased in a single direction are usually non-robust and … Continue reading

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Price Action Lab v6.0

The release of Price Action Lab v6.0 was announced on February 3, 2014. The new version of this quantitative trading tool includes a comprehensive update and useful features, like a randomization tool and price series statistics. Share

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