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ALGORITHMIC TRADING#1
The use of algorithms to automate trading decisions based on predefined criteria, enhancing efficiency and speed.
BACKTESTING#2
The process of testing a trading strategy using historical data to evaluate its effectiveness before live implementation.
OPTIMIZATION#3
Refining trading algorithms to improve performance metrics, such as maximizing returns or minimizing risk.
SHARPE RATIO#4
A measure of risk-adjusted return, indicating how much excess return is received for the extra volatility endured.
DRAWDOWN#5
The peak-to-trough decline during a specific period, representing the maximum loss from a peak to a subsequent trough.
PYTHON#6
A high-level programming language widely used in finance for data analysis, algorithm development, and backtesting.
PERFORMANCE METRICS#7
Quantitative measures used to evaluate the effectiveness of trading strategies, including returns, volatility, and risk.
ETHICAL TRADING#8
Practices that ensure fairness and compliance with regulations in algorithmic trading, emphasizing responsible decision-making.
TRADING STRATEGY#9
A systematic plan designed to achieve profitable trading outcomes, often based on technical or fundamental analysis.
DATA VISUALIZATION#10
The graphical representation of data to identify trends and patterns, enhancing the understanding of trading performance.
MARKET MECHANICS#11
The structure and processes that govern how financial markets operate, including order types and execution.
ALGORITHM#12
A set of rules or calculations used to solve problems or perform tasks, crucial for automating trading decisions.
QUANTITATIVE FINANCE#13
The use of mathematical models and computational techniques to analyze financial markets and securities.
HISTORICAL DATA#14
Past market data used for backtesting strategies, providing insights into potential future performance.
SENSITIVITY ANALYSIS#15
A technique used to determine how different values of an independent variable impact a particular dependent variable.
TRADING SIGNAL#16
An indication to buy or sell an asset, generated by a trading algorithm based on specific criteria.
COMPREHENSIVE STRATEGY#17
A detailed trading plan that incorporates various elements such as entry, exit, and risk management.
DATA MANIPULATION#18
The process of adjusting, organizing, or transforming data to prepare it for analysis or visualization.
FRAMEWORK#19
A structured approach for developing trading algorithms, often including libraries and tools for backtesting.
REGULATORY REQUIREMENTS#20
Laws and guidelines that govern trading practices, ensuring transparency and fairness in financial markets.
PEER REVIEW#21
A process where colleagues evaluate each other's work, providing constructive feedback to enhance quality.
FINAL PRESENTATION#22
The culmination of the course where participants showcase their developed trading strategies to industry experts.