Online Courses Signal Testing Addon Module
Signal Testing Addon Module
Scientists working on The Manhattan Project used Monte Carlo simulations for risk analysis before putting their ideas into practice. They had a limited supply of uranium and wanted to explore all likely outcomes before depleting resources.
You can use Monte Carlo simulation to preserve your own resources and get a look at investments and your strategy before you act. The signal tester allows you to move beyond averages and towards thinking in terms of probabilities and ranges of possible outcomes.
And, you don't have to be a scientist to understand and use it!
Any custom criteria can be tested, generating a report of the price action that occurs before and after the criteria is met. This can be done for a single code, a custom universe or an entire exchange.
Once the report is generated, the numbers will help you see the usefulness of the criteria. Also, it is quick and easy to explore variations of the criteria. And, to get a full picture, you can peer inside the averages into the probabilities along any point during the test period.