Ahmet Okumus is a money manager. He began trading in 1992 with $15,000 from his mother. And by 2000, he had turned that into $6 million, that’s an average annual return of 107%. He founded his hedge fund — the…
William Eckhardt is an American investor, commodities and futures trader, and fund manager. Eckhardt was one of the pioneers of quantified and mathematical trading and used some of the theories that later were popularized by Nassim Nicholas Taleb. William Eckhardt…
I believe it’s much more useful to read good books twice than pouring over many books. In this brief article, I explain why you should read good books twice (or rereading multiple times). About one year ago, I moved from…
This weekend I reread The Checklist Manifesto, a book published in 2010, which argues the case for a systematic approach to our daily work as professionals. Below you find arguments for why I believe a checklist is a logical part…
I believe Buffet’s annual letters are an invaluable source of investment knowledge and advice. I recently reread all of them and Lawrence Cunningham’s The Essays Of Warren Buffett – Lessons For Investors And Managers, a book containing excerpts from all…
Lucius Annaeus Seneca, better known as Seneca, was born in Cordoba, Roman Spain, in 4 BC and died in 65 AD. He grew up in Rome as a son of a procurator who was an authority in rhetoric, public speaking…
Poker, Sex and Dying is the title of a book by Juel Anderson published some time in the early 1980s. Some years after publication it was out of print and somewhat forgotten, but accidentally option investor David Caplan found a…
I currently reread Victor Niederhoffer’s The Eduction of A Speculator. I regard this book as one of the best I have ever read. It’s not an easy read, but it completely changed my mindset for the better 20 years ago….
The last trading day of the month offers trading opportunities. This is one of many seasonal trading strategies. Can we make a last trading day of the month trading strategy? The last trading day of the month is a weak…
David Shaw, the King of Quant, was one of the objects interviewed in Jack Schwager’s Stock Market Wizards. How did he make it into the book? Because of his superb annual returns. Schwager’s book is a bit old, published in…
Nicolas Darvas (1920-1977) was a Hungarian-American dancer turned self-taught investor. He gained fame for his unique trading method outlined in his book “How I Made $2,000,000 in the Stock Market” (1960). Darvas relied on technical analysis, particularly focusing on price…
Jeffrey Yass is an American options trader who co-founded the Philadelphia-based Susquehanna International Group (SIG). He has a staggering net worth of 12 billion dollars as of this writing. Jeff Yass’ trading career and life: Jeffrey Yass was born in…
Randy McKay is an American investor with a record 20-year consistent profits — he started from a few thousand and traded that to tens of millions of dollars. Despite his trading records, he is probably most known for being interviewed…
Dana Galante is an American investor and stock trader. She is the managing director of Miramar Asset Management, where she helps her investors to balance their long stock investments. Dana was a short seller; she profited when stocks in her…
Bill Ackman is a well-known US investor. Who is he? How does Bill Ackman invest? What are Bill Ackman’s investment strategies and philosophy? These are some of the answers we try to answer in this article. At the end of…
David Einhorn is a well-known US investor. Who is he? How does David Einhorn invest? Does he have any particular investment strategy or philosophy? These are some of the answers we answer in this article. At the end of the…
Ray Dalio is one of the world’s most-known investors. Who is he? How does Ray Dalio invest? What is his famous All-Weather Portfolio? What are Ray Dalio’s investment strategies? These are some of the answers we answer in this article….
Gil Blake is an American investor and fund manager and is perhaps most famous for being interviewed in Jack Schwager’s New Market Wizards. By the time of the interview, Gil Blake had an amazing win rate of 134 months out…
Steve Lescarbeau is a mutual fund trader. Jack Schwager’s interview with Gil Blake in the New Market Wizards inspired him to try out the mutual fund timing approach – holding his equity positions while they are gaining and switching to…
Claudio Guazzoni was interviewed by Jack Schwager in Stock Market Wizards. The reason for his inclusion in the book was his track record of 37% over a five-year period without a losing month. Claudio Guazzoni is the founder and CEO…
Charles Faulkner is an American life coach and motivational speaker who is a practitioner of neuro-linguistic programming. Faulkner is known for his work with futures traders and his research on the role of “metaphor” in communication and behavior. However, Charles…
Blair Hull is an American businessman, investor, Democratic politician, and philanthropist. He was interviewed in Jack Schwager’s New Market Wizards, and most of the info in this article is taken from that interview. Jack Schwager’s Market Wizard series is fantastic…
Alphonse Fletcher Jr. is an African-American former hedge fund manager and founder of the Fletcher Foundation. Alphonse Fletcher Jr’s early life and trading career He was born on the 19th of December, 1965 and was raised in Waterford, Connecticut. Fletcher…
This post is about Steve Watson who appeared in Jack Schwager’s Stock Market Wizards. Watson has not been much in the public, and we know very little about his career after the year 2000 (when the Schwager interview was made)….
Steve Cohen is an American investor and the co-founder of S.A.C. Capital Advisors. Cohen is famous for two things: an outstanding track record in managing money and for indirectly being charged with insider trading (his fund S.A.C. Capital Advisors pleaded…
Richard Driehaus was an American investor, fund manager, and philanthropist. He was the founder and chairman of Driehaus Capital Management, LLC, based in Chicago. He is regarded as one of the first turtle traders and was interviewed in the New…
Stanley Druckenmiller is an American investor, hedge fund manager, and philanthropist. He was the former chairman and president of Duquesne Capital, which he founded in 1981. After closing Duquesne Capital, Druckenmiller continued to manage his personal fortune through the Duquesne…
Van K. Tharp is an American investor and #1 New York Times bestseller of Financial Freedom Through Electronic Day Trading and Safe Strategies for Financial Freedom: The Definitive Guide to Position Sizing™ Strategies. He is the president of Van Tharp…
Thomas F. Basso, Tom Basso for short, is an American hedge fund manager. He was interviewed in New Market Wizards by Jack Schwager. The title of this article is the same as Schwager used in his book. This article looks…
Billionaire hedge fund manager Paul Tudor Jones is a famous trader and hedge fund manager. Many negative things happened during the 1987 stock market crash, but one man became very popular and super-rich for his predictions and gains. He would…
Bill Lipschutz is a forex trader and the director and co-founder of portfolio management at Hathersage Capital Management and a former director of Global Head of Foreign Exchange at Solomon brothers. He shot to fame when he was featured in…
Brett Steenbarger, Ph.D., is the author of the famous Traderfeed blog, and he has also published many books on trading psychology. He is a psychologist and a trading coach, who has helped portfolio managers and traders improve their performance. Brett…
Bruce Kovner is an American investor, philanthropist, and hedge fund manager. In 2012, he founded and chaired CAM Capital, which is responsible for investing his private assets, and Kovner Foundation, which oversees his philanthropic activities. He served as Chairman for…
Alexander Elder is an American investor, professional trader, and trader’s coach. He wrote titled, “The New Trading for a Living”, which was regarded as an outstanding book by traders. The book was published in 1993 and has become an international…
Jesse Livermore was a legendary trader and investor that ended his life by suicide after a boom and bust cycle throughout most of his life. One of the most legendary trading books is based on his life: Edwin LeFevre’s The…
Larry Connors is the principal executive officer of Connors Research Group, LLC and Chairman of The Connors Group (TCG). The Connors Research Group publishes daily market insights and commentaries, and it has been listed as one of the 10 fastest-growing…
Larry Hite is one of the pioneers of system trading (computerized trading) together with Ed Seykota. His book, The Rule: How I Beat the Odds in the Markets and Life—and How You Can Too, was named a Wall Street Journal,…
Larry R. Williams is an American Investor, author, and politician from the state of Montana. He has been actively involved in trading the commodities, futures, and stock market for over 53 years and is the only futures trader to trade…
Linda Bradford Raschke is an American trader focused primarily on commodities and futures. She is the president of LBR Asset Management as well as LBR Group. She was the first woman to be interviewed by Jack Schwager in his Market…
Michael Carr is an American investor, a Chartered Market Technician (CMT), writer, and speaker with a successful career in financial service. He is a Certified Financial Technician (CFT), a long-term member of the chartered market technicians association, where he served…
Michael Marcus is a commodity trader reputed to have turned his initial capital of $30,000 into $80 million in less than 20 years. He was the first to be interviewed in Jack Schwager’s series about Market Wizards. In this article,…
Michael Steinhardt is an American investor, philanthropist, and hedge fund manager. He founded the hedge fund, Steinhardt Partners in 1967. The hedge fund made an average annualized return of 24.5% for its client from 1967 to 1995. As a result…
Steve Clark is an American investor, founder, and Head of Risk at Omni Partners, LLP. He served as Director, Head of International Equity Trading, and Director, Co-Head Proprietary Trading at NatWest Markets and Nomura Securities, respectively, between the years 1991…
Rob Hanna is an American investor, the Co-founder, and vice president of research at InvestiQuants. He has been a full-time market professional since 2001 and has been serving as president of Hanna Capital Management LLC since that time. Rob Hanna’s…
Jack Schwager is the managing director and principal of the Fortune Group (alternative asset management) in the US and the UK. He is a board member of Fortune’s research affiliate Global Fund Analysis: one of the top sources for independent…
First-time father at 60, James Beeland Rogers Jr, also known as Jim Rogers, is an American businessman, investor, and financial commentator who lives in Singapore. He is famous for starting the Quantum Fund together with George Soros, and he was…
George Soros’ approach to trading is as a short-term speculator, making highly leveraged bets on the direction of the financial markets based on market and macroeconomic analysis. In other words, Soros bets on the long or short direction of any…
In this article, we look at the meaning of scalable and non-scalable professions and careers – scalable vs. non-scalable. What you choose might have a significant impact on your life. The word scalable is in Merriam-Webster defined like this:…
I believe it’s important to read, but at the same time being careful what to read. Quality is much better than quantity, and reading twice, in my opinion, is more valuable than reading more. I read The Intelligent Investor for…
Toby Crabel is a renowned figure in the world of trading and finance, known for his innovative strategies and contributions to the field. As the founder of Crabel Capital Management, he has left a solid mark on the financial market…
There are many factors that quants and algorithmic traders use when they develop trading strategies. Some of them are value, quality, size and, the one we will be backtesting today, momentum. Momentum is an investing factor that aims to benefit…
Introduction This tutorial will explain the Ichimoku Cloud indicator, and it will implement a trading example in Python using data from the iShares Core US Aggregate Bond ETF (AGG) and the Energy Select Sector SPDR Fund (XLE). Along the way,…
Given its wide range of uses, copper is commonly used as an indicator of global economic health. If you want to trade this popular commodity, it’s important to learn how copper is traded and choose the right copper trading strategy…
Nowadays, data manipulation and programming are essential in finance for analyzing large datasets of historical data, modeling different financial scenarios, and, of course, backtesting trading strategies. But what do they use to do all this? The answer is Python. Python…
Python is one of the most popular programming languages in the world and almost a must-have skill if you are going into finance. However, there are still lots of people that don’t know how to use it. So, how do…
Python is the most popular programming language to backtest trading strategies. However, most people are afraid of it or don’t know where to start, while others think it’s difficult to learn. Today we will show you how to backtest an…
Yahoo!Finance is one of the most popular websites for investors. It offers various market data on stocks, bonds, currencies, and cryptocurrencies. It also offers market news, reports and analysis, options, and fundamental data, which sets it apart from some of…
Finding reliable sources of data to backtest your trading strategies can be difficult sometimes. Luckily, today we will show you a website to download historical economic data for free using Python. We show you how to download FRED data using…
Python has become a popular language among traders and financial analysts due to its versatility and extensive data analysis and visualization libraries. One powerful application of Python in the trading world is backtesting strategies, allowing traders to evaluate the performance…
Many metrics and statistics are used to quantify a trading strategy’s performance. CAGR, standard deviation, Sharpe Ratio, and maximum drawdown are among the most popular indicators. However, today, we will look at one that is not used very often: How…
Libraries are an essential part of Python that makes programming faster and easier for developers. These two qualities are especially relevant in Algorithmic Trading. That’s why, in this article, we will explore some of the best algorithmic trading libraries in…
Traders use a wide range of indicators when trading. Among the most popular are the momentum and mean-reversion indicators, but there also exist indicators that measure volatility, such as the average true range. Let’s make an average true range (ATR) trading…
In this tutorial, we will implement a trading strategy using the ATR indicator. The first part will explain this indicator. Then, we will show a practical example in Python using the SPY data. Throughout this tutorial, we will implement various…
In this article, we will implement a trading strategy that will combine a Relative Strength Indicator and a Simple Moving Average. Let’s call it an RSI and moving average trading strategy. We explain the strategy and code it in Python….
Pairs trading strategy is short-term and leverages the Law of One Price, an essential economic concept. This pairs trading strategy with Python involves simultaneously placing two positions in related securities to exploit short-term price divergences. To illustrate this strategy, consider…
Candlestick patterns have been a fundamental part of technical analysis in the world of trading for many years. Among the multitude of candlestick patterns, the Doji is one of the most widely recognized. We make a doji candlestick trading strategy. A…
This article explores the implementation of a mean-variance portfolio in Python. It delves into the core concepts of Modern Portfolio Theory in Section 1 and proceeds to provide a practical Python example in Section 2. Modern Portfolio Theory is a…
This article will explain how to implement the OBV (On Balance Volume) to the Amazon (AMZN) stock. The first part will explain the idea behind the indicator, while the second part will implement a trading strategy based on the OBV….
This tutorial will explain the procedure to build a Simple Moving Trading Strategy in Python; it will begin by explaining the indicator and subsequently implementing a Python example. Related reading: What is a simple moving average (SMA)? The SMA is…
This article will explain how to backrest a Weighted Moving Average in Python. In the first part, there will be a brief introduction and explanation of this indicator. Subsequently, we will implement a Python example to calculate the result of…
In this article, we will build a profitable trading strategy in Python. We will implement the strategy in different market scenarios to draw insight: How to build a profitable VWAP trading strategy with Python. Related reading: Trading and Hypothesis Testing…
Introduction This article will explain and implement the Fibonacci retracement strategy in Python. At the same time, it will implement different Python functions to build this strategy. Related reading: –Algorithmic trading strategies Python (Backtesting, Code, List, And Plenty of Coding…
Stochastic Oscillator Strategy
Introduction This tutorial will explain how to implement the Parabolic SAR indicator to build a trading strategy in Python, and along the way, it will introduce the Object Oriented Programming (OOP) approach to download the data, calculate the Parabolic SAR…
Introduction This article will implement a trading strategy utilizing the Commodity Channel Index (CCI) indicator. It will review the underlying theory. Subsequently, it will explain the procedure in Python for implementing the trading strategy on the SPY; furthermore, it will…
Introduction This tutorial will explain the construction of a Money Flow Index trading strategy to you in Python. Along the way, it will implement class inheritance approach to build the code. The aim of the article is to show the…
Introduction This tutorial will use Python to implement a profitable trading strategy using the Williams %R indicator. The first part will explain the indicator, and the second part will implement the Python code. The second goal is to illustrate how…
Investors often evaluate the performance of their portfolios by examining various metrics, and one crucial measure is drawdown. Drawdown represents the peak-to-trough decline in the value of a stock or portfolio during a specific period. It helps investors assess the…
Introduction This tutorial will implement the Chaikin Oscillator in Python using historical financial data from the iShares Russell 1000 Growth ETF (IWF). The first part will briefly review the theory behind this indicator. The second part will code a trading…
Average Directional Index The direction or trend has played a major role in the financial market. An increase or decrease in the price of a financial instrument can occur for two reasons: randomness or fundamental factors. There is a saying…
Introduction This tutorial will implement a ROC trading strategy using Python. The first part will briefly explain the indicator and its calculation. The second part will calculate the Python example. We show you how to build a profitable ROC-based trading…
Triple Exponential Moving Average (TEMA) This indicator is used to identify the trend, retracement, and potential support and resistance. After the development of the Double Exponential Moving Average (DEMA), Patrik Mulloy enhanced the indicator and developed the TEMA. The interpretation…
We show you how I build a profitable Hull-moving average strategy in Python. However, the main purpose of the article to show how it can be done using Python. The strategy itself is of minor importance in this tutorial. Hull Moving…
In the world of trading and finance, understanding statistical measures is crucial for making informed decisions. One such measure that plays a significant role is the standard deviation. It helps investors and traders gauge the volatility and risk associated with…
Loss aversion in trading refers to the tendency of traders to prioritize avoiding losses over acquiring gains. This bias can lead to holding onto losing trades for too long or exiting winning trades prematurely. Understanding loss aversion is crucial for…
Traders are always seeking better ways to analyze the ever-changing price data in the financial markets, and one indicator that can transform the way you look at price data is the Fisher Transform. What do you know about this indicator?…
In the fast-paced world of financial trading, the search for a better technical indicator is never-ending, but one indicator that has been here a long time is the moving average envelope. What do you know about this indicator? The Moving…
Technical analysis, a method utilized by traders and investors to forecast future price movements of securities based on historical market data, has long been a subject of debate within the financial community. Proponents argue that patterns and trends identified through…
As a financial market trader, you need tools that help you assess what is happening in the markets, and the positive volume index (PVI) might be the right one for you. What is this indicator and how does it work?…
While there are many technical analysis indicators available to the trading community, the Negative Volume Index (NVI) is a unique tool for analyzing the financial markets. What do you know about this indicator? Created by Paul Dysart, the Negative Volume…
SPX Trading Strategy When it comes to trading the S&P 500 Index, also known as SPX, having a well-defined trading strategy is important for achieving success in the markets. In this article, we will explore what the SPX trading strategy…
Analyzing the financial markets can be a difficult task but there are numerous indicators to help with that — one such indicator is the Rainbow Oscillator. What do you know about this indicator and how it works? The Rainbow Oscillator…
Understanding paper trading vs live trading is important to becoming a successful trader. Our comprehensive guide carefully compares these two methods, highlighting key distinctions such as paper trading’s lack of real financial risk versus the genuine emotional trials and possible…
A time series analysis strategy might be helpful for traders. This article discusses practical tips & techniques and the essentials: forming objectives, selecting models, and preparing data for analysis. Whether you’re predicting stock performance or expecting weather changes, we provide…
Orange juice OJ futures strategy refers to the methods and techniques you can use to trade FCOJ futures contracts profitably. Orange juice OJ futures are contracts to receive or deliver the specified quantity of frozen concentrated orange juice on a…
Venturing into Bitcoin trading Strategies requires a solid approach, and this guide is dedicated to outlining effective trading strategies that might suit different risk tolerances and trading styles. We look into the essentials of ‘HODLing’ as well as sophisticated algorithmic…
There are plenty of potential option strategies, and one of them is selling puts. In this article, we look at how you can make money by writing or selling puts – also called cash secured put. Is selling puts a…
Want to know about the VIX futures trading strategy? Introduced in 2004, VIX futures offers market participants the ability to trade a liquid volatility product based on the VIX Index — an index that measures implied volatility in the U.S….
Since January, we have developed a new service called DAILY ANALYSIS. We search for compelling patterns (edges) in the main asset classes each morning (S&P 500, bonds, and gold). You can subscribe monthly or annually. We make trading rules of…
Is it a good idea to buy stocks setting 252-day lows? In this article, we backtest a 252-day low trading strategy for stocks. No, it’s not a good idea to buy stocks that set new 252-day lows. The 252-day low…
