All language subtitles for 8. Scalping trading strategy + Portfolio management

Hi, everyone, and welcome in this new video for this video, you need to download the zip file attached

to this video.

Or take the zip file on the GitHub to have access to the minutes data of civil forex assets, and you

just need to drag and drop here to use them.

Here I have just a little bit.

Modify the methods one of five preprocessing function.

OK.

I've created preprocessing minutes function.

Why?

Because when you import DV data, you just have the dates like this.

OK.

But when you want to import.

A timeframe lower than the daily data, late hour or minute, et cetera.

You will have another column named Son, so as index, we can put two columns.

So even if it's not really clean.

In technical or programmation way, OK, we are here to make algorithmic trading, not a programmation

course, so it will be fine for us.

OK, so we put two.

Index, so date and time.

So cute, I have put an example, so it's really exactly the same thing.

We just put same as index two.

OK.

And then we will use.

Several forex assets to trade the cheaper resistance estimate, errors, a strategic arms it's OK to.

Take the region as outputs and to see if.

This strategy work on several assets, and we will see how to create a portfolio of trading strategy

because it's really one of the most important thing when you will.

Create your own strategy, so I have put the name of all the currencies, and then it's very simple.

You need to create an empty to the frame.

And we just do a loop on all the assets on the list name.

So this list and we propose as a data and we compute the return on.

With a duration order of 10 minutes and a spread of one over.

Ten.

OK.

Then we will plot the results, so as we can see.

Globally, we see that all the strategy works, works well, works not very well, but we see that the

strategy has an inoperable trend in the.

In the performance in the profits.

But the problem is that.

If you choose the wrong strategy like USD, GBP, for example, OK, deep white, sorry.

You will have very bad results because you can see that this strategy has a very bad drawdown and that

the performance, it's very, very bad.

OK, so it will be very difficult just to pick one good strategy, one best strategy.

OK, so.

To minimize.

You risk all over all, the strategy you needed to create a portfolio or strategy.

It's very, very, very important.

You will not just walk with one strategic one only strategy because it's really too risky.

What you need to do is to take civil assets to create a portfolio of strategy.

So how do we create a portfolio of strategy using?

The same strategy.

OK, but on different on the line.

But if you want to diversify your portfolio, you can add some overall strategy on other on the plane

using over strategies.

OK.

So it's really.

Interesting to do it.

So let me show you.

So first, we need to create the portfolio.

The portfolio is just off some of.

The acid dividing by the shape of Earth regions, so the number of assets in the portfolio.

Then we use the Jolan function.

So it's explain on the backtesting chapter, so I will not explain it here.

And for each strategy.

So each individual strategy and the portfolio of strategy, we will compute the region or the Jordan

ratio.

And here, as we can see the region or a Jordan ratio.

Is very, very good for the pope for you.

OK, because we have only one assets above the pope for you.

OK, and above length 0.05.

So it's really, really, really, really good.

OK.

For example, if you choose the wrong assets like this one, OK, you will use.

You will lose.

So a lot of money and to have the right to have to pick one.

Good strategy one.

Another good one.

ET cetera.

It can be interesting to create a portfolio of strategic.

And you devised, for example, if you want to have one price action strategy and you want to put $10000

on.

You can take five price accents within the same strategy or different strategy on different on the line.

OK.

And put 2000 on each strategies and puts $2000.

Each strategy can be a very good way and a very simple way because it exists more complex way to diversify

your investments.

But it can be a very good way to.

Put more safety into your trading strategy.

Though, as we can see, we have a very, very, very good result because we have made light.

Six percent by year, OK?

Six percent in one year using the portfolio because we have made.

Sixty seven point five percent in one year and three months, so we can we can tell six percent in one

year.

OK, so.

But with a drawdown of one point seven percent.

Okay, so it's very, very, very, very good because if you take.

The annualized return, the the average of the annualized return of.

The S&P 500 is around six percent and eight percent.

But the draw long is team time 10 times more high.

So it's very, very a good strategy that we have created here.

But I want to warn you that it's a good strategy that to put a strategy in life trading.

OK, we'll discuss about that in the metaphor of five Byton Girls.

OK.

So in this course.

OK, we will talk about the process to Poots and then go it elaborating.

OK.

The the true process from the data from the life treaty.

OK.

And.

It means that you need to have a civil.

Step between.

The strategy, like ladies, OK, we have a good strategy and the life trading and the big step between.

The strategy and the lifting is the practice and the incubation period, so we'll talk about this in

one of the next call.

And on the YouTube channel, on the next videos.

So on the next call, 835 and Python, the next course, and we will also talk about this on the YouTube

channel.

So don't hesitate to join the Discord forum if you want to be informed of this.

New video.