Mean Reversion or Momentum ?

Discussion in 'Trading' started by Sekiyo, Oct 28, 2024.

Mean Reversion or Momentum ?

  1. Mean Reversion

    4 vote(s)
    14.8%
  2. Momentum

    19 vote(s)
    70.4%
  3. Even

    2 vote(s)
    7.4%
  4. Else

    2 vote(s)
    7.4%
  1. Sekiyo

    Sekiyo

    Where does most of your profit comes from ?
    If it’s something else … please elaborate :D
     
  2. Momemtum by far, but mean reversion tactics during the launch phaze can smooth out the DD when your stocks don't light off quick enough.
     
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  3. TrAndy2022

    TrAndy2022

    Buy and hold with my investments is where my most profit comes from. Because I put profits from trading regularly to my investment accounts.
     
    ironchef, sridhga and Sekiyo like this.
  4. Momentum that is in the same direction as the short-term to mid-term trend
     
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  5. deaddog

    deaddog

    It all comes from momentum. If you consider letting winners run as momentum.
     
    taojaxx and Sekiyo like this.
  6. spy

    spy

    "selling volatility, whether in equity, commodity, rates or FX, is a risk-seeking facilitation of hedging flow that demands compensation" [reference]
     
    Sekiyo likes this.
  7. Hello Sekiyo,

    What is mean and momentum?
     
  8. Hello Sekiyo,

    Are you trying to make money in trading or are you trying to learn trading?

    What are you trying to do?
     
  9. panzerman

    panzerman

    Mean Reversion: 0.5*(n[0]-2*n[-1]+n[-2])

    Momentum: 2*n[0]-n[-2]
     
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  10. MarkBrown

    MarkBrown

    be a jerk >>>

    1. Using Kinematic Equations with Known Intervals
    • If you know the change in velocity (Δv\Delta vΔv) and distance (Δx\Delta xΔx) covered while that change in velocity occurs with a known or constant acceleration profile, you might infer an average jerk.
    • For example, if acceleration changes at a constant rate across a known distance, you can estimate jerk by rearranging kinematic equations.
    2. Assuming Constant Jerk Over a Distance
    • If acceleration changes linearly over a distance (not time-based but distance-based), jerk can be approximated by dividing the change in acceleration (Δa\Delta aΔa) by the distance interval (Δx\Delta xΔx):
    javg=ΔaΔxj_{\text{avg}} = \frac{\Delta a}{\Delta x}javg=ΔxΔa
    This approach is only an approximation and applies best when jerk is constant.

    3. Energy or Force-Based Calculations
    • In some advanced physics and engineering scenarios, jerk can also be estimated by observing the force variation with respect to positional change in systems where mass and velocity are well-known constants.
     
    #10     Oct 28, 2024
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