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Site title: Welcome to Robot Wealth – Quant Trading Hub
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Traders love the illusion of precision. A few bad weeks go by, and you think, “Let’s run a t-test and see if the strategy stopped working.” It sounds rigorous. It isn’t.
Imagine a strategy that, in truth, earns 10% per year with 20% volatility – roughly the S&P’s long-term profile. We’ll simulate five years of daily returns, about 1,260 observations, from a geo...
When I first got interested in trading, The Whitlams were all over Australian radio, and I was making all the beginner mistakes.
A big one – focusing on techniques instead of edges.
I poured time and energy into building backtesting engines and frameworks for applyin...
How do we find edges?
First, we must be clear about what constitutes a good idea. It isn’t as simple as it having to make money. The risk profile must also be tolerable. This is a personal preference.
Next, we need to be able to trade it.
Robinhood won’t let you sell naked options. You can’t trade the Indian markets or crypto derivatives from ...
We’ve all used on/off type trading signals at some point. But you can nearly always extract more insight with a simple adjustment that focuses on using data efficiently.
Let me show you how using a crypto trend example.
You’ve seen them everywhere.
“If price is above the 20-day...
Do you find yourself obsessing over p-values and t-stats when evaluating trading ideas?
I get it.
If you come from an academic or scientific background, statistical significance feels like the gold standard for determining whether something is “real” or just random noise.
And in many fields, that’s exactly right.
But trading is differe...
