You have mentioned machine learning many times in the video. Isnt Pairs trading based on Statistics (White Box Models) not on Machine Learning (Black Box Models)?
Pairs trading is a spectrum with many approaches to solving the problem of trading a mean reverting spread. Machine learning is largely used to construct these spreads, or find components to do so.
hi, can someone explain to me how you could profit of finding two stocks those returns are mean reverting ?. I get the strategy for mean reverting prices but on returns i dont understand
Sir, In forex pairs SPREAD TRADING do you recommend use of CCI (say on 4H chart--cci 7,cci 14, cci30,cci50 values & add all these values on each pairs to spread & compare overpriced/underpriced leg).The pairs got to have correlations of at least 90%(say aud/usd &nzd/usd--aud/jpy &nzd/jpy--eur/jpy & gbp/jpy--gbp/aud & gbp/nzd etc.).Sell the overpriced & buy underpriced. This would give trader starting edge, staying power, size choice & risk control. You would be comparing deflection of prices summed up on multiple time frames(added up/robust) for asset A & B. Your wisdom is appreciated..
Best video review on stat arb on youtube, thank you!
Hi! Thanks for the great video- wondering is there a link to the Presentation for the ML approach?
Great work!!! Can you upload the 2nd day of the workshop ?
@@HudsonThamesResearch Thanks for your generosity, the knowledge your team share to the community is really useful !!!
Very good presentation regarding this topic! Do you public the 2nd day also on YT? It would be very interesting. Thanks for all!
You have mentioned machine learning many times in the video. Isnt Pairs trading based on Statistics (White Box Models) not on Machine Learning (Black Box Models)?
Pairs trading is a spectrum with many approaches to solving the problem of trading a mean reverting spread. Machine learning is largely used to construct these spreads, or find components to do so.
Horrible microphone quality. Thanks for uploading tho
hi, can someone explain to me how you could profit of finding two stocks those returns are mean reverting ?. I get the strategy for mean reverting prices but on returns i dont understand
Sir, In forex pairs SPREAD TRADING do you recommend use of CCI (say on 4H chart--cci 7,cci 14, cci30,cci50 values & add all these values on each pairs to spread & compare overpriced/underpriced leg).The pairs got to have correlations of at least 90%(say aud/usd &nzd/usd--aud/jpy &nzd/jpy--eur/jpy & gbp/jpy--gbp/aud & gbp/nzd etc.).Sell the overpriced & buy underpriced. This would give trader starting edge, staying power, size choice & risk control. You would be comparing deflection of prices summed up on multiple time frames(added up/robust) for asset A & B. Your wisdom is appreciated..
Hi what is that balance( Traju) symbol on trading view chart