Algorithmic Trading Strategy For Binary Options- Design And Backtesting

17 November 2016, 10:40
Ahmad Hassam

I have written a detailed post on my blog on how to design and back test an algorithmic trading strategy for binary options.

This algorithmic trading strategy is based on randomForests algorithm and has been back tested for 5 minute expiry binary options.

But the model can be easily changed to trade 15 minute and 30 minute binary options as well.

You can read the detailed post on my blog if you are interested in learning how to design and backtest an algorithmic trading strategy.

The coding has been done in R.

You can easily connect R with MT4 and make an indicator from this strategy.

Most important thing is to calculate kappa for the algorithmic trading strategy.

I have explained what kappa is and why it is important when you are designing an algorithmic trading strategy.

There are a number of good packages in R that can help you analyze the performance of your trading strategy.

Read the blog post in which I have explained everything in great detail.

Share it with friends: