When it comes to quantitative trading, many people think of cold, emotionless data and code. But in reality, there are quite a few things this approach can do.
A good quantitative algorithm can process market data at high speed, and that’s beyond question. But the key point is—it's not just about looking at data, but about validating strategies through extensive backtesting of historical data. You need to repeatedly simulate past market conditions to identify truly profitable patterns.
Of course, historical data is just the foundation. Real-time monitoring is the real decisive factor. Market conditions change rapidly, especially in the highly volatile cryptocurrency market. An effective real-time monitoring system can help you spot fleeting investment opportunities in time. Stocks, futures, cryptocurrencies—no matter the market, strategies that respond quickly often have the upper hand.
The problem is, most people simply don’t have the tools and capabilities for this. Those who truly make money in trading usually use systematic quantitative methods to seize opportunities in the market. It’s not luck; it’s a system.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
8 Likes
Reward
8
5
Repost
Share
Comment
0/400
faded_wojak.eth
· 12-27 15:23
How many people have historical data killed? Backtest guys think they're guaranteed to win, but going live on the actual market is a total disaster.
View OriginalReply0
PoolJumper
· 12-27 08:54
That's right, backtesting is one side of the coin; real-time monitoring is the truly profitable side.
---
Historical data looks good, but in the face of market conditions, all are paper tigers; reaction speed is still key.
---
To be honest, most retail investors don't even have a decent monitoring system, and that's where the gap shows.
---
Quantification isn't mysterious; it's just about being calmer and faster than others, no other secret.
---
System > Luck, this statement hits the mark; too many people are still relying on luck.
---
The volatility of digital currencies is inherently high; without a real-time system, it's like going naked.
---
So, is strategy more important or tools more important? I think both are indispensable.
---
It looks simple, but very few people actually stick to backtesting and iteration.
---
That's why some can make steady profits while others lose money every day; it's fundamentally on different levels.
View OriginalReply0
ClassicDumpster
· 12-27 08:39
Basically, without a real-time system, you're just running alongside the market.
Historical backtesting is all just fooling oneself; the key is whether you can survive until the next market wave.
Fast reflexes do indeed bring quick profits, but for us manual traders, we've long been out of the game.
Real traders have already mastered this approach, while we're still studying candlestick charts.
Without good tools, relying solely on intuition to trade cryptocurrencies is really just giving away money.
View OriginalReply0
quietly_staking
· 12-27 08:34
Sounds good, but I just want to know—are your backtest data sufficient? Many people just force-fit a few years of data, and as soon as the bull-bear cycle switches, it blows up.
View OriginalReply0
LiquidationHunter
· 12-27 08:30
It sounds like a game only a few can play, which is really disgusting.
One set of historical data, one set of real-time monitoring, but what about ordinary retail investors? They simply can't afford to play.
The truly profitable ones are already using this system, while we're still studying candlestick charts.
System? Basically, it's still a gap in funds and technology.
Is monitoring systems expensive? It feels like a new trick to scam money again.
What can backtesting verify? The market changes in the next second, and history doesn't predict the future, brother.
In markets like crypto, reactions are fast, but not faster than robots. Chasing highs and selling lows ultimately results in heavy losses.
The key issue is that most people can't even find a reliable data source.
It seems like quant trading is designed for those with resources; small retail investors like us can't get involved.
No matter how strong a strategy is, it can't withstand black swan events. Last time Luna collapsed, no amount of quant strategies could save it.
When it comes to quantitative trading, many people think of cold, emotionless data and code. But in reality, there are quite a few things this approach can do.
A good quantitative algorithm can process market data at high speed, and that’s beyond question. But the key point is—it's not just about looking at data, but about validating strategies through extensive backtesting of historical data. You need to repeatedly simulate past market conditions to identify truly profitable patterns.
Of course, historical data is just the foundation. Real-time monitoring is the real decisive factor. Market conditions change rapidly, especially in the highly volatile cryptocurrency market. An effective real-time monitoring system can help you spot fleeting investment opportunities in time. Stocks, futures, cryptocurrencies—no matter the market, strategies that respond quickly often have the upper hand.
The problem is, most people simply don’t have the tools and capabilities for this. Those who truly make money in trading usually use systematic quantitative methods to seize opportunities in the market. It’s not luck; it’s a system.