Algorithmic Trading and Stocks Essential Training

Learn how to develop a back-tested, rules-based stock trading strategy and program a simple trading algorithm of your own.

Introduction

• Algorithmic trading

1. The Basics of Securities Markets

• Basics of stocks
• Basics of stock markets
• Basics of trading stocks
• Algorithms and the financial industry
• Algorithms in Excel
• Data analytics and algorithms
• Stocks and the Fed
• Big data in finance
• Predicting values with regressions
• Stocks and trading in practice

2. Investing and Securities

• Stationarity and the VIX
• Case study: ETF pairs trading with algorithms (OIH and XOP)
• Case study: Dual share class pairs trading (VIA and VIA.B)
• Common quantitative rules and strategies
• Visually examining trading relationships

3. Building Algorithms

• Gathering data for an algorithm
• Designing an algorithm
• Testing algorithm accuracy
• Algorithm profitability and trading decisions
• Economic data and stock correlations
• Predicting economic variables
• Advanced algorithms
• Evaluating models

4. Using Trading Algorithms

• Buying and selling with an algorithm
• Expanding the algorithm to other securities
• Scenario analysis in investing

5. The Evolution of Trading

• Find trading strategies in research literature
• Short-term vs. long-term quantitative strategies
• Social media and drawing data from online platforms
• Does algo trading work?
• Algo trading in practice: Who uses it?
• Algo trading services for individual investors

Conclusion

• Next steps