Hello there:
I was reviewing quantra's courses and came up with course "Price action Trading using python":
and the introduction stated: "Build a strong foundation in price action trading with this comprehensive course that teaches you how to spot and trade the most important trading patterns: double tops/double bottoms, triple tops/triple bottoms, head and shoulders. "…
But reading Ernest Chan, book entitled "Quantitative trading", I find the following quote:
"Is quantitative trading just a fancy name for technical analysis, then? Granted, a strategy based on technical analysis can be part of a quantitative trading system if it can be fully encoded as computer
programs. However, not all technical analysis can be regarded as quantitative trading. For example, certain chartist techniques such as “look for the formation of a head and shoulders pattern” might
not be included in a quantitative trader’s arsenal because they are quite subjective and may not be quantifiable."
Now, I would like to ask about this course… Is this course quantitative ?? are there any price action strategies based entirely on quantitave techniques… ??
Hello Ghery,
In quantitative trading, the emphasis lies on a systematic and data-driven approach, utilising mathematical, statistical, and computational tools to gain insights into financial markets and develop algorithmic trading strategies.
I'd like to highlight that various strategies and methods covered in the 'Price Action Trading' course also adhere to the principles of quantitative trading. While the effectiveness of some price action patterns may be subjective, this course has made it more objective by introducing quantification through using statistical techniques, rigorous backtesting and performance analysis. This ensures a systematic, rule-based, and data-driven evaluation of trading strategies.
I hope this helps.