Alpha measures excess return. Anything with alpha over 1.0 is considered favorable. Beta measures volatility and market risk. Anything with beta below 1.0 is considered favorable. These cannot be the only metrics you make your trades or investments on, but they are extremely helpful when comparing funds or stocks. Chasing high alpha will usually result in...
If you like this analysis, please make sure to like the post, and follow for more quality content! I would also appreciate it if you could leave a comment below with some original insight. In this post, I will be providing a thorough explanation on the concept of Beta, and why it's important to consider the Beta value when investing in stocks. Definition Beta...
Hello and welcome to the revision of my working theory regarding market patterns in cryptocurrencies. This analysis follows my previous write-up regarding why intra-day traders in cryptomarkets should focus on alt-usd pairs as opposed to BTCUSD, found below: In this analysis, I focus on the 4-hour timeframe as opposed to the daily timeframe found in the...
Hello all and welcome to my analysis of trading patterns in crypto markets! Before we begin, there are several key assumptions we must establish: The reference data is based on trading prices and volumes on Bitfinex. This is because I believe that Bitfinex is the leading exchange in the cryptocurrency market due to its popularity, despite higher recent BTCUSD...