4 ms·

If you’re looking for information on quantitative trading, and are considering relying on a YouTube channel, please just park your money in an index fund and go

by blake1 5y ago

If you’re looking for information on quantitative trading, and are considering relying on a YouTube channel, please just park your money in an index fund and go read about LTCM, Black Tuesday/Friday, Knight Capital, Orange County, and the Global Financial Crisis. Just remember, finance is not like betting on the ponies. It’s worse, because the odds aren’t posted.

nl 5y ago
Spoken like someone who has never done algorithmic betting or trading. It's true there are risks associated with trading. But keep track of the money you have at risk and there is no reason not to have a go. I know more than enough people who have made consistent returns doing algorithmic trading in under-serviced market segments.
- blake1 5y ago
  Actually, I speak as someone who has lost a fair bit of money on algorithmic trading. The pattern I’ve observed is consistent, small gains punctuated by sizable losses. That was in a big market, but if the market segment is small enough, then I would certainly grant that your acquaintances could have had that success. Does put a cap on the gains.
yaitsyaboi 5y ago
I have a day job I just think it would be a fun way to learn some applied ML. Anyway, what’s wrong with learning from YT?
- sbierwagen 5y ago
  I would expect a youtube channel on stock trading to be similar to a youtube channel about cryptocurrency trading: not just wrong, but actively harmful. Learning about trading on youtube is different from learning about, say, Python on youtube. If a video on programming is incorrect, your program doesn't work. If a video on equity trading is incorrect, the author of the video can take all your money. Video views, upvotes and subscribers can all be purchased. If you have profitable trading strategy that reaps newbies who implement a bad algorithm that you publish in a public video, then you have created a perpetual motion machine. Here's a search for "how to win slots" on youtube: https://www.youtube.com/results?search_query=how+to+win+slots https://www.youtube.com/results?search_query=how+to+win+slot... Thousands of results, millions of views each. Every video is either fake or wrong, by definition. These videos make money for the authors, and the casinos, by taking it from the marks dumb enough to watch and believe them.

by blake1 5y ago

nl 5y ago

Spoken like someone who has never done algorithmic betting or trading. It's true there are risks associated with trading. But keep track of the money you have at risk and there is no reason not to have a go. I know more than enough people who have made consistent returns doing algorithmic trading in under-serviced market segments.

blake1 5y ago
Actually, I speak as someone who has lost a fair bit of money on algorithmic trading. The pattern I’ve observed is consistent, small gains punctuated by sizable losses. That was in a big market, but if the market segment is small enough, then I would certainly grant that your acquaintances could have had that success. Does put a cap on the gains.

yaitsyaboi 5y ago

I have a day job I just think it would be a fun way to learn some applied ML. Anyway, what’s wrong with learning from YT?

sbierwagen 5y ago
I would expect a youtube channel on stock trading to be similar to a youtube channel about cryptocurrency trading: not just wrong, but actively harmful. Learning about trading on youtube is different from learning about, say, Python on youtube. If a video on programming is incorrect, your program doesn't work. If a video on equity trading is incorrect, the author of the video can take all your money. Video views, upvotes and subscribers can all be purchased. If you have profitable trading strategy that reaps newbies who implement a bad algorithm that you publish in a public video, then you have created a perpetual motion machine. Here's a search for "how to win slots" on youtube: https://www.youtube.com/results?search_query=how+to+win+slots https://www.youtube.com/results?search_query=how+to+win+slot... Thousands of results, millions of views each. Every video is either fake or wrong, by definition. These videos make money for the authors, and the casinos, by taking it from the marks dumb enough to watch and believe them.