Statistical Significance & Results

Discussion in 'Strategy Building' started by runningman, Jul 19, 2009.

  1. If I know my average win and standard deviation of returns, how can I find if my results are statistically significant or just the result of chance?
  2. If you have a lot of observations and a fairly normal distribution, one method is to try generating a random run of returns with avg win of zero and equal std dev, then run a t-test (freely available in excel).

    Good trading type book on the subject is Aroonson, Evidence Based TA.

  3. Is that person a trader himself ?
  4. google "confidence interval"
  5. Craig66