Engineering Alpha

Engineering Alpha

Time Warping the Market Simplified

Dynamic Time Warping and Its Ability to Match Similar Market Patterns Across Time

Sofien Kaabar, CFA's avatar
Sofien Kaabar, CFA
Mar 06, 2026
∙ Paid

One of the fundamental illusions in financial markets is that time flows evenly.

Technical analysts know this instinctively. Some price patterns take days to play out. Others take months. A double bottom that unfolds in three days might rhyme with another that unfolds in thirty, but conventional models often miss the rhyme. They’re looking at the beats, …

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