Engineering Alpha

Engineering Alpha

Creating a Simple Technical Indicator in Python

Creating a Momentum-Based Indicator to Trade the Market

Sofien Kaabar, CFA's avatar
Sofien Kaabar, CFA
Feb 16, 2022
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Technical indicators can be found everywhere and some traders prefer to create their own so that they reflect their risk and return appetite as well as their preferred market analysis methods. In this article, we will try to create a simple contrarian indicator and then back-test it. The key learning outcome is not finding a profitable indicator but rat…

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