Quantitative trading

What Hacker News says

1. rgbgraphJun 2023
   You will be better off going independent, than trying to break into the industry (unless your PhD was from a top program, and you're on the younger side).

   In that vein, Ernest P. Chan's books will give you the toolkit to begin, and then you can figure out the rest as-needed. Quantitative Trading (2nd), Chan I believe is the first in the series. Algorithmic Trading I believe is the second. And Machine Trading is the last.

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2. _benjJul 2022
   I once looked into this and it seems like the programming component of it is fairly simple, i.e. and event loop that receives price changes from the market and decided to either buy/sell/hold.

   Those can be learned with not too much difficulty on a platform like https://www.quantconnect.com/

   But the secret “sauce”, or alpha that allows whatever quant strategy to be profitable is kept very secret, not just because people would rather make money than share but because if the strategy becomes well known, or just known enough that other people start using it it loses all its value.

   There’s a book called “Quantitative Trading: How to Build Your Own Algorithmic Trading Business” which I found kind of interesting in giving a good basics about the language, tools and methodologies used by quants, specifically individuals instead of institutional, like how to come up with ideas and how to evaluate them and avoid common mistakes.

   Also there’s the Elite Trader forum section on algo trading as well as the algo trading subreddit, but it’s up to you to filter what’s useful from those.

   I have a friend who does day trading for a living and has his own profitable strategy and been working with him to see if it could be “quantified” and made into an algorithm and honestly is a fascinating field.

   Good luck on your research!

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3. jxm262May 2020
   Random question but is this Tel from the east coast? (wont name the city to respect anonymity). Think we worked together before :)

   Depends how new you are to it all, but assuming you just know basic trading stuff (what a bid/offer is, what options greeks are, etc..). Everything I do is stat arb type of trades. My path won't be the same as yours, but here's how I started.

   What I did...

   - read literally every link and topic under https://www.investopedia.com (the education tab -> investing trading section on the right)

   - quantopian.com - look under the learning tab. I went through all the material - literally all of it. There's a series of Lectures that explains a ton

   - quantconnect.com - I went through all their tutorials. Read through the existing strategies to get a feel for everything and gain insights - https://www.quantconnect.com/tutorials/strategy-library

   - Absorbed almost everything Ernie Chan has written. This was the first book that got me interested in all this - https://www.amazon.com/Quantitative-Trading-Build-Algorithmi...

   I read a _ton_ and played around with lots and lots of data to try and get my systems working. Still no where near where I'd like to be, but been profitable since the beginning (minus a giant loss on some gambles I took - I no longer trade discretionary because of this). The links I pasted above are what I'd consider the "easy" part of all this, anyone can read and learn. Learning the more in-depth stuff around specific topics is harder, but I have a bunch of books (willing to share some recommendations if you need).

   Once you progress, you'll find specific areas you're interested in (equity options, commodity futures, spread trades, fixed income/bonds, etc.. ).

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4. TuringNYCMay 2020
   My favorite is Ernie Chen's "Quantitative Trading: How to Build Your Own Algorithmic Trading Business" https://www.amazon.com/Quantitative-Trading-Build-Algorithmi...

   Warning: it is a lot of fun, thrilling, but hard to make money. My winning algos took a while to research, longer to automate, and often lost alpha quickly.

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5. koalalaFeb 2015
   Don't get discouraged by the negative comments. It's completely possible to make a profit (with low risk) without resorting to HFT.

   I'd recommend you read Quantitative Trading by EP Chan for a great overview of the basic methods and some example implementations.

   Disclaimer: I've done exactly this successfully for >2yrs now.

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6. jacquesmFeb 2015
   > Don't get discouraged by the negative comments.

   No, of course not. Jump in feet first with all that you've got and to hell with common sense.

   > It's completely possible to make a profit (with low risk) without resorting to HFT.

   Yes it is. For a while at least.

   > I'd recommend you read Quantitative Trading by EP Chan for a great overview of the basic methods and some example implementations.

   Reading is always good, second that.

   > Disclaimer: I've done exactly this successfully for >2yrs now.

   I know gamblers that have been on winning streaks too. Unfortunately that's not how the story ends, especially not for novice gamblers.

   It's nice you have found a way to consistently beat the market and I really hope that you're outperforming the lowly index funds but without more data 'successfully' is awfully un-specific.

   I made some money in the stockmarket too, but I'm not going to dress is up as intelligence, I'd rather admit that it was dumb luck.

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