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Technical trading rules have been widely used by practitioners in financial markets for a long time. The profitability remains controversial and few consider the stationarity of technical indicators used in trading rules. We convert MA, KDJ…

统计金融 · 定量金融 2018-01-17 Jing-Chao Chen , Yu Zhou , Xi Wang

A novel algorithm for actively trading stocks is presented. While traditional expert advice and "universal" algorithms (as well as standard technical trading heuristics) attempt to predict winners or trends, our approach relies on…

人工智能 · 计算机科学 2011-07-04 A. Borodin , R. El-Yaniv , V. Gogan

Although technical trading rules have been widely used by practitioners in financial markets, their profitability still remains controversial. We here investigate the profitability of moving average (MA) and trading range break (TRB) rules…

交易与市场微观结构 · 定量金融 2015-09-03 Hong Zhu , Zhi-Qiang Jiang , Sai-Ping Li , Wei-Xing Zhou

Technical trading rules have a long history of being used by practitioners in financial markets. Their profitable ability and efficiency of technical trading rules are yet controversial. In this paper, we test the performance of more than…

交易与市场微观结构 · 定量金融 2015-09-03 Shan Wang , Zhi-Qiang Jiang , Sai-Ping Li , Wei-Xing Zhou

Addressing the ongoing examination of high-frequency trading practices in financial markets, we report the results of an extensive empirical study estimating the maximum possible profitability of the most aggressive such practices, and…

交易与市场微观结构 · 定量金融 2010-09-15 Michael Kearns , Alex Kulesza , Yuriy Nevmyvaka

Gold and bitcoin are not new to us, but with limited cash and time, given only the past stream of the daily price of gold and bitcoin, it is a kind of new problem for us to develop a certain model and determine the best strategy to get the…

其他计算机科学 · 计算机科学 2022-09-09 Yueying Ma , Yan Mi , Yujing Bian

It has been assumed that arbitrage profits are not possible in efficient markets, because future prices are not predictable. Here we show that predictability alone is not a sufficient measure of market efficiency. We instead propose to…

统计力学 · 物理学 2009-11-10 R. Rothenstein , K. Pawelzik

The potential of machine learning to automate and control nonlinear, complex systems is well established. These same techniques have always presented potential for use in the investment arena, specifically for the managing of equity…

投资组合管理 · 定量金融 2011-10-18 Evan Hurwitz , Tshilidzi Marwala

Technical trading represents a class of investment strategies for Financial Markets based on the analysis of trends and recurrent patterns of price time series. According standard economical theories these strategies should not be used…

统计金融 · 定量金融 2011-10-25 Federico Garzarelli , Matthieu Cristelli , Andrea Zaccaria , Luciano Pietronero

We consider the problem of finding a consistent upper price bound for exotic options whose payoff depends on the stock price at two different predetermined time points (e.g. Asian option), given a finite number of observed call prices for…

数理金融 · 定量金融 2021-07-21 Nicole Bäuerle , Daniel Schmithals

This paper examines an optimal investment problem in a continuous-time (essentially) complete financial market with a finite horizon. We deal with an investor who behaves consistently with principles of Cumulative Prospect Theory, and whose…

投资组合管理 · 定量金融 2014-03-18 Miklós Rásonyi , Andrea Meireles Rodrigues

China's stock market is the largest emerging market all over the world. It is widely accepted that the Chinese stock market is far from efficiency and it possesses possible linear and nonlinear dependence. We study the predictability of…

统计金融 · 定量金融 2017-02-08 Huai-Long Shi , Zhi-Qiang Jiang , Wei-Xing Zhou

How effective are the most common trading models? The answer may help investors realize upsides to using each model, act as a segue for investors into more complex financial analysis and machine learning, and to increase financial literacy…

统计金融 · 定量金融 2019-08-01 Joseph Attia

This paper measures and compares the tail risks of limit and market orders using Extreme Value Theory. The analysis examines realised tail outcomes using the Dealing 2000-2 electronic broking system based on completed transactions rather…

统计金融 · 定量金融 2011-03-30 john cotter , kevin dowd

We investigate the performance of dynamic portfolios constructed using more than 21,000 technical trading rules on 12 categorical and country-specific markets over the 2004-2015 study period, on rolling forward structures of different…

This paper describes the dependence of market-based statistical moments of returns on statistical moments and correlations of the current and past trade values. We use Markowitz's definition of value weighted return of a portfolio as the…

综合经济学 · 经济学 2026-02-17 Victor Olkhov

Online trading has attracted millions of people around the world. In March 2021, it was reported there were 18 million accounts from just one broker. Historically, manipulation in financial markets is considered to be fraudulently…

交易与市场微观结构 · 定量金融 2021-07-30 Golnaz Shahtahmassebi , Lascelles Wright

Pairs trading is a strategy based on exploiting mean reversion in prices of securities. It has been shown to generate significant excess returns, but its profitability has dropped significantly in recent periods. We employ the most common…

交易与市场微观结构 · 定量金融 2020-10-06 Miroslav Fil

Financial market forecasting remains a formidable challenge despite the surge in computational capabilities and machine learning advancements. While numerous studies have underscored the precision of computer-generated market predictions,…

计算金融 · 定量金融 2023-11-16 Reza Yarbakhsh , Mahdieh Soleymani Baghshah , Hamidreza Karimaghaie

The aim of this paper is to compare the performances of the optimal strategy under parameters mis-specification and of a technical analysis trading strategy. The setting we consider is that of a stochastic asset price model where the trend…

投资组合管理 · 定量金融 2016-05-03 Ahmed Bel Hadj Ayed , Grégoire Loeper , Frédéric Abergel
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