any way to tell algo trading from price chart?

Discussion in 'Trading' started by mute9003, Sep 11, 2024.

  1. mute9003

    mute9003

    Im watching this and its literaly creating micro traps without time and sales moving or any orders going through.
    Is this what algo is doing?
    creating flat line to make traders nervous and then creating a fast move down to trigger a selloff and then buy back again?

    Where can i learn more about how algos are programmed and strategies they use? Or how they work in general?
     
  2. 2rosy

    2rosy

    Code:
    import numpy as np
    sigma=.2
    r=.043
    atmK=32.
    d=45
    N=252
    alpha = lambda N: N/2*sigma * np.log(N*r) * (( r**2* 1/r ) - (r**atmK * r**-(atmK-1))) * np.sqrt(d/360.)
     
  3. MarkBrown

    MarkBrown

    Here's a corrected and simplified version:


    import numpy as np

    # Define the constants
    sigma = 0.2
    r = 0.043
    atmK = 32.0
    d = 45
    N = 252

    # Define the alpha function
    alpha = lambda N: (N / 2) * sigma * np.log(N * r) * r * np.sqrt(d / 360.)

    # Example usage
    result = alpha(N)
    print(result)
     
  4. 2rosy

    2rosy

    your simplified version doesnt return the same result. too dependent on chatGPT
     
  5. MarkBrown

    MarkBrown

    been real good for me is all i know. this is it's comments about your code

    • Lambda Function Structure: The function alpha should return a valid numerical result, but the expression inside contains several questionable elements:
      • N/2*sigma should be fine.
      • np.log(N*r) might lead to problems if N*r <= 0, so ensure N*r > 0.
      • Expressions like r**2*1/r are overly complex and reduce to just r, so simplifying them is beneficial.
    • Simplification:
      • r**2 * (1/r) is equivalent to r.
      • r**atmK * r**-(atmK-1) simplifies to r.
     
  6. 2rosy

    2rosy

    The simplification part is what makes my alpha lambda always return 0 no matter what values are set.
    Code:
    (( r**2* 1/r ) - (r**atmK * r**-(atmK-1))) = 0
     
  7. mute9003

    mute9003

    What are you even posting bro.
    and who are you having a conversation with?
     
  8. zghorner

    zghorner

    maybe you are blocked by the other poster so you can only see one side of the conversation.
     
  9. mute9003

    mute9003

    I blocked a few people recently. About to block some more.
    Every post i make is bunch of random shit that i didnt even ask
     
  10. Real Money

    Real Money

    You can go to programtrading.com to read about US listed market algos, or you can check out mrtopstep.com or you can go check out something like Nanex, LLC and its founder.

    Each one is different. Traders on ET should know this stuff, but they don't.
     
    Last edited: Sep 11, 2024
    #10     Sep 11, 2024