alvinloh.com

MACD and RSI line

I know I'm just a bgeginner on these Trading concepts but I have been looking hard at the MACD and RSI and notice the telling signs that when there is a certain rising or falling pattern it will usually translate to the start signal of the tragectory path of the stock. I want to do some back testing to try out some ideas.

This is all very immensely interesting to me because it seems like a world wide game that everyone is playing. And this game has lasted for generations and the rules are simple but not easy.

It is a game where the more you learn, there could be a bigger edge for yourself but success is not guaranteed.

Isn't it an amazing game?

Directions

There are a couple of things which I want to be working on right now:

• Mock Backend API
• Messages To Me substack and newsletter
• Trading know how and back testing

I think I have the data structures ironed out for the Mock Backend API so now is to really think through what will form a MVP and the functionality it will contain. We will need to keep the end in mind also.

Mock Backend API

• [X] Able to add and list out all the data structure supported
• [ ] Able to add a simple structure to a workspace
• [ ] Able to add attributes to the structure - perhaps name values first
• [ ] Able to add choice values to the structure

Messages to Me substack

I want to explore Mailchimp again and get a newsletter running using Substack to channel traffic and perhaps even Instagram displaying short messages? I remember Dan Koe mentioning it's about adapting your content to the format and the feel of the social network which you are posting to.

Backtest Stock Patterns

I found some youtube videos on backtesting.py. Will post more when I find out more.

Trying out new things

There are quite a number of things I would like to do. My idea pad is overflowing with ideas which I would want to implement, just that I want to find the time to do them all.

Sometimes I am just wondering if it is the fear of failure which causes one to pause and switch projects, or to second guess themselves when they are working on something?

For some strange coincidence, trading stocks intrigued me greatly. I guess it has always been there, but somehow I don't remember why I stumbled onto a trading website and it really made me look into it more deeply. I came upon this website, a Trading Simulator and I was really quite interested in how these candlestick patterns work.

I found out that was a huge field of technical analysis behind it. Things like these always interest me because I guess I am a structured learner. And I have been combing through books ever since.

Today I learnt about MACD and SMA and EMA. I guess I am just a week in and I am just learning the terms of everything. I don't really know how all these gel together, but I guess we will figure it out. The thing is that, I want to find a place where I can download historical data and try some trading logic of mine. I think it is a good way to also know whether the way of thinking things and setting up rules work for the real world. And I found out that there is such a thing called backtesting.

So I'm going to try out BackTrader and play around with the library with the historical data from Yahoo Finance or Alpha Vanture to see if I can get something working.

I will just spend some time on it and perhaps evening I will focus on completing my mock API backend.

I think there is a market for mock API backends and my idea was that eventually it might even spin off by itself to be a headless CMS.

We'll see.

Decision Paralysis

I'm actually at that stage where I want to accomplish many different things and try out many different things but I am getting frustrated because I know deep down it is the shiny object syndrome.

I need to think properly what I really want. And what is the best use of my time.

And the best use of my time would be to increase my knowledge. I mean - how do you write a bot and test a strategy when obviously there are many other things you don't know yet. This is like trying to write a bot which navigates the road when you are don't even know how to drive.

So I think the best use of my time right now is to increase my knowledge about trading, about indicators, brushing up my knowledge on reading charts, technical analysis and candlestick reading for example.

Moreover, do the things that are most familiar to you first and I already have projects that are lined up like my mock data api backend which I would want to finish it first.

Hence, now the path is clear - finish up the mock data api backend and learning about stock trading and technical analysis.

We will put the backtrader backtesting on the back burner. We will get back to you it again once we get better in stock trading knowledge and indicators so we can formulate a suitable strategy.

Hello World

This is the first blog post, so Hello World!