Post
Topic
Board Trading Discussion
Re: automated day trading
by
Fireball
on 16/07/2011, 08:54:03 UTC
Quote
It is certainly not as profitable [longer term] as simply holding at this point but it does offer the advantage of capitalizing on the near-constant noise

The problem is here. Any trading strategy must be above buy-and-hold as a minimum criteria for consideration. And there are millions of strategies which are above buy-and-hold for only a very small amount of time (e.g. they all perform perfect on the backtesting data, but will make huge loss in a few days or weeks).

Though, there is one exception. Since the bitcoin market is just emerging, it may be inefficient and thus even simple algorithms would be profitable.