Show HN: Stock Trading with Insomnia REST Client and Alpaca API

Post by ta1234567890 » Sat, Dec 15, 2018, 4:58 PM UTC

kgwgk wrote: post #18

ta1234567890 wrote: post #11

Open question: If, for one stock, you could predict tomorrow's closing price today (with 80% accuracy within 2% of the actual price), how would you trade that stock?

It's easy to predict tomorrow's closing price with that accuracy: it will be the same as today's closing price. For a large majority of S&P 500 stocks this prediction will be within 2% of the actual price very often (more than 80% of the days). In aggregate, the hit rate is over 80% as well.

Post by hartator » Sat, Dec 15, 2018, 5:21 PM UTC

ta1234567890 wrote: post #31

kgwgk wrote: post #18

Earlier quoted context omitted.

It's easy to predict tomorrow's closing price with that accuracy: it will be the same as today's closing price. For a large majority of S&P 500 stocks this prediction will be within 2% of the actual price very often (more than 80% of the days). In aggregate, the hit rate is over 80% as well.

Great, so how do you use that for a trading strategy?

Post by gammateam » Sun, Dec 16, 2018, 1:27 AM UTC

gammateam wrote: post #15

dplgk wrote: post #6

Earlier quoted context omitted.

What is order flow?

User data on what stocks they buy and sell Except between the time the user clicks buy and when it the buy actually happens. Basically hedge funds are able to receive and parse this data, and change their orders to an advantage before the users order hits the actual exchange Its analogous to a MITM attack Despite my wording its not necessarily bad, but I think users should have a better understanding of it.

Post by malhotra_chetan » Sun, Dec 16, 2018, 5:15 AM UTC

rpedela wrote: post #5

Alpaca looks awesome, but doesn't support after hours trading. Does anyone know of a good API that does?

Post by toomuchtodo » Mon, Dec 17, 2018, 4:04 AM UTC

ta1234567890 wrote: post #31

kgwgk wrote: post #18

Earlier quoted context omitted.

It's easy to predict tomorrow's closing price with that accuracy: it will be the same as today's closing price. For a large majority of S&P 500 stocks this prediction will be within 2% of the actual price very often (more than 80% of the days). In aggregate, the hit rate is over 80% as well.

Great, so how do you use that for a trading strategy?