Hello everyone, first a word of introduction. I am new to this forum and to the forex trading as a whole. After reading a few books, playing a little using a demo account on forex.com and trying several different platforms I started my very first mini account together.
Two days ago I found this forum and enjoyed the contents and the discussions very beneficial.
I am currently studying bioinformatics and I thought of several systems that I might program to analyze the markets, as the field of bioinformatics is in reality dealing with the same problems as much of this specialized analysis - selective sign from noise using statistical procedures. I wanted to know your view whether it actually is worth my while (I am not always in terms of lots of gained gained money, but much more in relation to scientific interest (even if I found a nice scalping system that would provide me with just 10 pips a day I would be a millionaire in lt;5 years)).
The systems I thought of trying to construct should be first of robust, i.e. they should work among as diverse market conditions as you can - and I also wish to ensure their evolvability. What I mean by this that those systems should change their egies as we go along. The implementation I think should be very computation-intensive and I am not certain that the issue isn't NP-complete. The key I thought of is implementing some kind of a genetic algorithm that the choice function could be measured most of all through robustness.
Now another thought I thought of this might bring a lot to developing my system is mimicking pseudo-market ailments. Tell me what you think of the:
A) Assessing the various parameters of a market and building pseudo-data with the same conditions employing random variations on the same theme.
B) Perhaps searching for HMMs from the market information and seeking to reconstruct the information with those same HMMs.
C) some kind of clever shuffling of the data.
Do you think that using those parameters could still overfit the very best egy? Just because it'd find my parameters by which I constructed the market data?
I would be very interested in hearing (reading) your comments to the ideas above.