Good and bad books on strategy design?

+1

 

I am looking for books with more advanced level math like "Cybernetic Analysis for Stocks and Futures".

 

Research papers would be great as well.

 

I would be reading more seminal texts on these subjects, rather than something that explains how to apply specific complex methods to trading, then form your own application/conclusion.

Sure there are useful application specific methods that you could always learn (e.g. interpolating a yield curve). However, that doesn't sound like what you're looking for.

 

Any specific example?

 

Maybe something like Duda & Hart for ML or Kay for DSP, obviously depends on whatever subject you want to read about.

It's worth pointing out though, that there's no magic bullet. I don't know if you come from a traditional scientific/research background, but that's kind of the approach you need to take here while building domain expertise in finance (there will be no books or papers which will teach any of that).

 

Thanks for sharing. What is your approach for trading? Simple is the best?

 

What's the problem with trading ?

Just click the BUY button. Works for the last 5 years!

 

What's your definition of simple?

Mostly stat arb (includes vol arb), liquidity peddling, and some small time repo plays.

 

simple is like...keep variables within 5 or less!?

For stat arb, do you day trade?