If accuracy score is high, is it means over fitting?

AI & Machine learning
1

Hi

I have done the course "Introduction to Machine Learning for Trading". in that, interactive exercise was given in section4, unit5. in that exercise, I have changed the stock from spy to ^nsei to verify the strategy in different stock. for ^NSEI stock, accruacy score of trained data was nearly 95% and test data was 45%. is this means the model was over fitted??

Regards

 

2

Yes, the model was overfitted on training dataset such that it failed to perform well in the test (out of sample) dataset. Therefore, this strategy shouldn't be used to trade on Nifty 50 index. Thanks!