Random Strategy Versus Technical Analysis Strategy in The US Market

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F20%3A00120789" target="_blank" >RIV/00216224:14560/20:00120789 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.itema-conference.com/wp-content/uploads/2021/04/ITEMA-2020_Conference-Proceedings_FINAL.pdf" target="_blank" >https://www.itema-conference.com/wp-content/uploads/2021/04/ITEMA-2020_Conference-Proceedings_FINAL.pdf</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.31410/ITEMA.2020" target="_blank" >10.31410/ITEMA.2020</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Random Strategy Versus Technical Analysis Strategy in The US Market

Popis výsledku v původním jazyce

Random strategy is currently an interesting alternative to traditional trading of financial instruments. The paper builds on existing research into the trading of investment instruments through random strategy and strategies based on technical analysis. The highly liquid USD/CAD currency pair was chosen for the US market research. We analyze five years of data, and in every intraday trading session, only a single position will be opened. Technical analysis strategy uses essential indicators such as Bollinger Bands, relative strength index (RSI), moving averages (MA) and other. Every trading position will have the risk-reward ratio (RRR) 3 to 1. In addition, another trading positions on the USD/CAD currency pair will be opened without technical analysis. The time of entry into position will be indicated randomly with a similar risk-reward ratio (RRR) 3 to 1. The aim of this paper is to assess which of the above strategies is more suitable for the investor. In other words, this paper aims to compare the strategy of technical analysis and the random strategy in intraday trading concerning the profitability of these trades. We expect that a random strategy will be more suitable for the investor in many points

Název v anglickém jazyce

Random Strategy Versus Technical Analysis Strategy in The US Market

Popis výsledku anglicky

Random strategy is currently an interesting alternative to traditional trading of financial instruments. The paper builds on existing research into the trading of investment instruments through random strategy and strategies based on technical analysis. The highly liquid USD/CAD currency pair was chosen for the US market research. We analyze five years of data, and in every intraday trading session, only a single position will be opened. Technical analysis strategy uses essential indicators such as Bollinger Bands, relative strength index (RSI), moving averages (MA) and other. Every trading position will have the risk-reward ratio (RRR) 3 to 1. In addition, another trading positions on the USD/CAD currency pair will be opened without technical analysis. The time of entry into position will be indicated randomly with a similar risk-reward ratio (RRR) 3 to 1. The aim of this paper is to assess which of the above strategies is more suitable for the investor. In other words, this paper aims to compare the strategy of technical analysis and the random strategy in intraday trading concerning the profitability of these trades. We expect that a random strategy will be more suitable for the investor in many points

Druh

D - Stať ve sborníku

CEP obor

—

OECD FORD obor

50206 - Finance

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2020

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

Conference Proceedings / Fourth International Scientific Conference ITEMA 2020 Recent Advances in Information Technology, Tourism, Economics, Management and Agriculture

ISBN

9788680194363

ISSN

2683-5991

e-ISSN

—

Počet stran výsledku

8

Strana od-do

121-128

Název nakladatele

Association of Economists and Managers of the Balkans

Místo vydání

Serbia

Místo konání akce

Belgrade, Serbia

Datum konání akce

1. 1. 2020

Typ akce podle státní příslušnosti

WRD - Celosvětová akce

Kód UT WoS článku

—