The question of an edge | Traders Hideout - futures trading strategies, market news, trading charts and platforms

Traders Hideout

Discuss day trading practices and futures trading strategies on this forum for all markets. This forum is also for discussing and reviews for brokers, data feeds, and commercial or third party add-ons


The question of an edge

  #8 (permalink)

Birmingham UK
Trading Experience: Intermediate
Platform: NinjaTrader
Broker/Data: TST/Rithmic
Favorite Futures: YM/Gold
ratfink's Avatar
Posts: 3,652 since Dec 2012
Thanks: 17,422 given, 8,380 received

rleplae View Post
There can be an 'edge', which by eye-balling the screen is very clear, why long, why short, why don't touch
once you want to quantify it (at least in classic rule-based system) and program it, it becomes very very
difficult as there is always a little 'but', which is evident to the human eye/brain, but when not programmed
it doesn't count...

Today half of my strategies are classic rule based, if / then and work OK
other half are machine learning, artificial intelligence based

I'm currently working on a small new project, and teach my kid (university student) the magic of machine
learning. as a example i hope to illustrate the result of a rules based system compared to a machine learning
system. But on the same concept... The goal of the exercise is : manual, trial/error/optimisation of features
and parameters, compared to automatic feature extraction... will be a good interesting exercise

More to follow this month...

Like the sound of the project, have a similar plan in incubation, good hunting.

However, regarding 'the edge' I'm afraid 90% is illusion caused by the magic of whole charts and hindsight, there is only 'the right-hand edge' when we're live...


Travel Well
Visit my futures io Trade Journal Reply With Quote
The following 3 users say Thank You to ratfink for this post: