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Usually hate most trading channels on youtube, just a whole lot of basic concepts all the time.. but you bring some minimal interesting things with algo trading. thanks
00:48 What's momentum trading 01:47 +70% momentum trade in Tesla 02:40 How to trade momentum - a simple momentum trading framework 08:00 Rotational momentum strategy - characteristics & profit distribution 09:24 Equity curve of a simple rotational momentum trading strategy
Hi David, can you elaborate on how exactly to do a rotational backtest like this in Amibroker? I am an Amibroker user but I have been struggling with this. I wish to do a backtest where I select the highest momentum stocks every month as well, just like you have done. Looking forward to hearing back. Cheers.
Very interesting, thanks for sharing. Few questions: 1. No SL or TP? 2. Do you calf the rankings each month based on the last month alone or the all last 12 months back? This gives the last month less “weight “ vs older months. Did you consider rank based on some calculations that favour last months more?
Hi, no the risk is controlled by working with volatility of given stock and rebalancing. PT is not used as that only hurts the performance of these strategies. Yes you can measure the rank taking more recent performance into the account - the ROC 252 was used just an example, I myself use more complex calcs in the strategy I trade
Yes ATR is recommended, I've got a video on that already. ROC is rate of change, i.e if the price was 100 and is 200 now, than the rate of change is 100 per cent
Hi David, thx a lot for all these valuable contents, i was hoping if you can share with us some kind of shorting strategy in order to have like a complete long-short strategy mush appreciate it. thx again buddy
Annual rate of change is how much (in percentage terms) has the stock risen in the past year. So if the price was 100 a year ago and it's 200 now, the annual rate of change is 100 per cent
I use Amibroker that has functionality of rotational backtest that's required for this type of strategy. Not sure whether other, more mass-market software packages can be used
📢 BRAND NEW FREE WEBINAR
Elevate your trading using systematic strategies & get a strategy that made 105% in 2020.
Sign up for free today ➔ bit.ly/3oaqAsl
Usually hate most trading channels on youtube, just a whole lot of basic concepts all the time.. but you bring some minimal interesting things with algo trading. thanks
00:48 What's momentum trading
01:47 +70% momentum trade in Tesla
02:40 How to trade momentum - a simple momentum trading framework
08:00 Rotational momentum strategy - characteristics & profit distribution
09:24 Equity curve of a simple rotational momentum trading strategy
David! you are a genius!! the clarity with wich you explain complicated concepts is out of the ordinary
Thanks Aldo, appreciate that
I hope you make videos for each trading strategies that were also back tested. This is very interesting!
Hi David, can you elaborate on how exactly to do a rotational backtest like this in Amibroker? I am an Amibroker user but I have been struggling with this. I wish to do a backtest where I select the highest momentum stocks every month as well, just like you have done. Looking forward to hearing back. Cheers.
Very interesting, thanks for sharing.
Few questions:
1. No SL or TP?
2. Do you calf the rankings each month based on the last month alone or the all last 12 months back? This gives the last month less “weight “ vs older months. Did you consider rank based on some calculations that favour last months more?
Hi, no the risk is controlled by working with volatility of given stock and rebalancing. PT is not used as that only hurts the performance of these strategies. Yes you can measure the rank taking more recent performance into the account - the ROC 252 was used just an example, I myself use more complex calcs in the strategy I trade
@@CriticalTrading
You use ATR for SL?
And what does ROC is?
Yes ATR is recommended, I've got a video on that already. ROC is rate of change, i.e if the price was 100 and is 200 now, than the rate of change is 100 per cent
What about ROC(252) / volatility(252) for ranking?
Hi David,
thx a lot for all these valuable contents, i was hoping if you can share with us some kind of shorting strategy in order to have like a complete long-short strategy
mush appreciate it.
thx again buddy
What broker or platform allows robots for the stock market like MT4 is for Forex?
Is it ROCE what u mean by Annual Rate of change ? ?
Annual rate of change is how much (in percentage terms) has the stock risen in the past year. So if the price was 100 a year ago and it's 200 now, the annual rate of change is 100 per cent
Very interesting! Thanks.
I trade something very similar to this. This is very similar to the strategy of Nick Radge. I love the low frequency side of it the most.
Yeah, I enjoyed his material, I recommend Andreas Clenow as well
what is this software? did you code stategies based on this software?
Amibroker
This is a great strategy. How can I backtest this with a tool?
I use Amibroker that has functionality of rotational backtest that's required for this type of strategy. Not sure whether other, more mass-market software packages can be used
Any Metatrader Indicator you can recommand that viable shows momentum?
Awesome