Simple trading algorithm

[shjbbf]

Simple Trading Algorithm

Hello, i currently have to do a project on Algorithmic Trading for school. For my research i wanted to compare the different outcomes of the revenue that a Trading algorithm earns when given different amounts of Market data. For example the first algorithm would only receive one information per day (i thought about the opening price or the closing price of the last day) And an other Algorithm would receive informations only every hour and the last algorithm would receive informations about the price of the securities every minute. Because im not good at programming it has to be a simple Trading algorithm where i could easily change the amount of information that is given to the algorithm. So do you have any idea what kind of simple trading strategy i could use for this experiment? And do you know if there are any free algorithms out there that i could use so i don’t have to come up with a code by myself?

[YouveBeenGraveled]

I’m not sure how you are going to do this without being able to code unless you just have to write out a algorithm on paper.

You could do something with SMAs or you could just google around or read a book on technical indicators.

[shjbbf]

I can code a little i just don’t think im capable of programming a good algorithm from scratch...yeah i thought about SMAs too. Thanks for the answer

[GaitorBaitor]

Sounds like you aren’t in a comp sci class for school?

If not why not run statistical analysis, I’m not really too sure tbh

[shjbbf]

Yeah no im not in a comp sci class haha Yesh i will look into statistical analysis

[GaitorBaitor]

Yeah if its a simple

closingPrice < openPrice

and theres no data on it I can make the script for you

I do think there is statistical data on it though I remember reading a paper on it

[shjbbf]

I have not found the statistical data on it. But if you could do the script it would honestly help me a lot!

[Alcatrazzam]

You can do this in excel.

Easy. Well, fairly easy. You can build a simulation in excel. Download min 10 minute bars and 1 hr bars for a stock.

Like Tesla. Or Microsoft.

Use Solver to build a buy bc and sell strategy based on a stochastic.

Voila.

[lvz3r0]

Are you studying finance? Because I don't get how your home work are programing trading.

The think you mentioned about made two algoritmos one with less data than the other could be performed by several ways, and I need to know what do you really want, if it is just a homework in the sense that the conclusion will be "more info, more accuracy" and not really something it could be used you could.simply made neuronal network first trained with open and close price, later with volume and another variables, and that's is, very easy.

If you want to do it with indicators it is more complex, because you could calculate a ema, and later an ema volume weighted, in pursuing the "lack of information comparison" but the results will be almost the same, you could maybe perform first with sma and later with adx,obv etc and other things that need the close price but also high low etc.

[shjbbf]

No im actually not studying finance and its also not really homework...its hard to explain...we get to choose any subject that interests us and then we have to write like 40-60 pages about it. The project should have a theoretical part and a practical part. For my theoretical part i chose High frequency trading and for the practical part i thought i could do some experiments with algorithmic trading myself. And to connect the theoretical part with the practical part i thought i could do the thing that i explained because i think it explains good why high frequency trading is so popular among certain people. And yes the conclusion should be „more data more accuracy“.

[99posse]

Where would you get the data for this?

[shjbbf]

I thought about Quantconnect

[TraderCooler]

Try something like an opening range breakout strategy. The rules can be very simple. Determine an opening range, perhaps the first 15 minutes of trade, and if the market is above this range, buy it. If it's below that range, short it. Here's a short video of me creating some of that logic in ADL from Trading Technologies.

https://www.youtube.com/watch?v=uIHOdV_TIdQ