Algorithmic Strategies

Algorithmic strategies involve the use of mathematical models and automated systems to generate buy and sell signals. Examples include:

Moving Average Crossover: A signal is generated when a shorter-term moving average crosses above a longer-term moving average (known as a Golden Cross, indicating a buy signal) or below it (known as a Death Cross, indicating a sell signal).

Mean Reversion: This strategy operates on the premise that asset prices will eventually revert to their historical average.

Pairs Trading: This involves exploiting the relative price movements of two historically correlated assets, going long on one and short on the other when their relationship deviates from the norm.