The market for automated trading tools is vast and complex. Our upcoming article will focus on the theoretical and practical aspects of evaluating trading algorithms before making a decision.
Concepts in development:
- Understanding "Over-Optimization": Explaining the concept of Curve Fitting and why historical performance doesn't always predict future results.
- Reading Performance Charts: How to look at equity curves and drawdown statistics critically on public tracking sites.
- Risk Management Strategies: Discussion on high-risk strategies (like Martingale) and their potential impact on account equity.
- Verifying Information: Tips on how to cross-reference vendor claims with independent data sources.
- Due Diligence Checklist: A general list of factors traders often consider when researching new software.
Our goal is to improve financial literacy regarding algorithmic trading and help you ask the right questions.