Transisitions are great Andrew , there are subtle patterns in vol that can give headsup for sure . The best signals for me come in either rising vol and or vol above a certain level , Dull markets give a lot of false signals
Great video and great to have the Better System Trader podcasts (webcasts) back! Regarding the questions about walk forward optimisation, I would be interested in knowing more about this versus the parameter sensitivity testing that Cesar referred to. Perhaps a topic for another video...
I trade Forex due to the lack of gap risk. Forex has extremely powerful, but short lived trends. (Unlike the early 2000's, long macro trends are much less significant due to interest rate convergence.) How do you deal with false classification vs delay in such a case with rapid trends that don't maintain very long. Unlike equities, something like "close above 200" moving average doesn't consistently stay true for long periods of time, and lowering average values are also too noisy without significantly improving filter effectiveness. Valuable moves seem to explode out of the noise floor.
![127: Building Mean Reversion Trading Strategies with Cesar Alvarez-Part1 [AUDIO ONLY]](http://i.ytimg.com/vi/7fbgEnOYRB4/mqdefault.jpg)
Legend
Admire the work of both these maestros! I think 200 dma has a considerable lag for a market regime filter. Volatility is a better option.
Cheers Atul, yes volatility is a good option
The original classic of trading podcasts. Excellent episode!
my pleasure lwazeem
Excellent material! So happy that Better System Trader is back.
thanks James, glad you enjoyed it
Transisitions are great Andrew , there are subtle patterns in vol that can give headsup for sure . The best signals for me come in either rising vol and or vol above a certain level , Dull markets give a lot of false signals
interesting observation wooloongabba, thanks for sharing
Great video and great to have the Better System Trader podcasts (webcasts) back! Regarding the questions about walk forward optimisation, I would be interested in knowing more about this versus the parameter sensitivity testing that Cesar referred to. Perhaps a topic for another video...
Good suggestion Brendon
Would be great to have a dedicated interview with Cesar regarding his views on walkforward vs other types of optimization.
interesting idea, thanks TehBr0
I got some take away😁
Doesn't matter what strategy you use. You should become a good price action trader to become successful in this business
Great insights, great content, thank you Andrew!
Your welcome Joao, thanks for watching!
Really happy to see BST back. Was eagerly waiting for it.
Thanks for the support Abhishek!
excellent stuff, thank you a lot
thanks @Phan!
I have been waiting for the comback!
Thanks Hetesh, glad to be back!
Already smashed the like button. I know with caesar and Andrew, its gonna be a great episode.😃
thanks Akshay! :-)
I trade Forex due to the lack of gap risk. Forex has extremely powerful, but short lived trends. (Unlike the early 2000's, long macro trends are much less significant due to interest rate convergence.) How do you deal with false classification vs delay in such a case with rapid trends that don't maintain very long. Unlike equities, something like "close above 200" moving average doesn't consistently stay true for long periods of time, and lowering average values are also too noisy without significantly improving filter effectiveness.
Valuable moves seem to explode out of the noise floor.
disappointing he didn't know portfolio optimization(markowitz model) on strategy(alphas) which most hedge funds uses...