BackTest Sharpe Ratio and Max Draw Down

DGM Sharp Ratio = 3.5

2024-05-14 09:01:09,378 – INFO – DGM Start Date and Time now is 2024-05-14 09:01:09.378769
2024-05-14 09:01:09,880 – INFO – All data downloaded successfully in GetDataRequest.
2024-05-14 09:01:09,993 – INFO – Exported FROM 2020-11-11 TO 2024-05-14 Data saved to DB.
2024-05-14 09:01:10,401 – INFO – File QuantTrending.csv has been successfully deleted.
2024-05-14 09:01:10,401 – INFO – >>*>> ETHUSDT-QuantSharpRatioMDD-1d.csv for Equity Curve.
2024-05-14 09:01:10,401 – INFO – BackTest Trade Message = None
2024-05-14 09:01:10,401 – INFO – BackTest Trade Price (Qty: 0.05) = 0
DGM Class Start Date and Time now is 2024-05-14 09:01:09.380486
START: 1d ETHUSDT OHLC-data from 2020-11-11 00:00:00 until 2024-05-14
Open Time Open High Low Close
0 2020-11-11 450.34 476.25 449.28 463.09
1 2020-11-12 463.09 470.00 451.20 462.39
2 2020-11-13 462.48 478.01 457.12 476.43
3 2020-11-14 476.42 477.47 452.00 460.89
4 2020-11-15 460.90 462.89 440.19 448.08
.. … … … … …
276 2024-05-10 3036.24 3053.89 2878.03 2909.99
277 2024-05-11 2909.98 2945.67 2886.46 2912.45
278 2024-05-12 2912.45 2955.20 2901.17 2929.29
279 2024-05-13 2929.30 2996.40 2864.76 2950.99
280 2024-05-14 2950.99 2958.76 2937.51 2944.75

[1281 rows x 5 columns]
END: v3/klines 1d ETHUSDT DB Processed.

START DB Processing: >>> Data from GetDataRequested table.
Mean Price: 2208.228266978923
Standard Deviation: 914.490172178236
v3/klines Upper Percentage Threshold: 4037.208611335395
v3/klines Lower Percentage Threshold: 379.2479226224509
Open Time High Low Close
0 2020-11-11 476.25 449.28 463.09
1 2020-11-12 470.00 451.20 462.39
2 2020-11-13 478.01 457.12 476.43
3 2020-11-14 477.47 452.00 460.89
4 2020-11-15 462.89 440.19 448.08
GetDataProcess Trade Message = None
GetDataProcess Trade Price (Qty: 0.05) = 0
GetDataProcess Data processed and saved to QuantTrending table.
END: v3/klines 1d ETHUSDT GetDataProcess Completed.

START DB Processing: >>> Data from QuantTrending table.
BackTestSharpRatioMDD: >>> Processed the file QuantTrending.csv.
Warning: NaN values detected in ‘Previous_Close’. Attempting to recalculate ‘Daily_PnL’.
Warning: NaN or Infinite values detected in ‘Daily_PnL’ after recomputation. Cleaning required.
Info: Previous_Close Close Daily_PnL Cumm_PnL
count 1280.000000 1280.000000 1280.000000 1280.000000
mean 2207.652859 2209.591656 0.014513 11.073642
std 914.972973 913.902063 0.038246 5.210313
min 448.080000 448.080000 -0.263329 0.000000
25% 1598.405000 1599.225000 -0.000000 7.088900
50% 1899.325000 1900.090000 -0.000000 12.360589
75% 2910.605000 2914.057500 0.031202 15.726248
max 4807.980000 4807.980000 0.277372 18.590075

*> DGM Sharp Ratio = 7.25
**> DGM Maximum Drawdown: 28.47%
***> DGM Peak Profit: 1859.01%
****> DGM Drawdown from Peak: 1.40%
*****>> Created ETHUSDT-QuantSharpRatioMDD-1d.csv for Equity Curve.

In 1993, Buffett spoke to Columbia University’s Business School graduates. Asked about his method for evaluating risk, he said, “Risk comes from not knowing what you’re doing.” This quote reflects Buffett’s investment philosophy, highlighting the crucial role of knowledge and understanding in reducing risk.

The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” Mark Zuckerberg



Tips:

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AI Sleeping Income With DGM System

The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

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How It Works?


AI Strategies To Become A Millionaire

https://dailygamemoments.com/traderdao
  • This is not a money game.
  • This is not a manual trading system,
  • This is not a trading system with charts and indicators.
  • This is not a paid solution, this is DGM sleeping solution.
  • This is not an investment program and it is a trading Ai strategy.
  • This is not coins staking nor yield farming or to provide liquidation.
  • This is not TradingView pine scripts trading or webhook complicated settings.
  • This is not financial advise and Do Your Own Research (DYOR). You need only 3 steps!
  • This is not limited to one crypto exchange that you can use. More than one that you can choose.
  • This is not a solution without DGM guidance. I will provide a guidance which cryptocurrencies to trade.
  • This is not MT4/MT5 or EA and has nothing to do with VPS or setup a mini-PC to automate your trades.

Step 1: Setup an Ai Trading System

Step 2: Setup A Trading Platform To Earn USDT When You Sleep

Step 3: Marry Them Both Together Forever

How can you do that?

  1. Create an application programming interface (API) with TraderDAO in Bybit exchange (Which is Step 2).
  2. Paste the API secret keys into the Ai Trading system app (Which is Step 1).
  3. Your job is done! You will make the passive income daily from Step 1 and also Step 2. One Trade Two Incomes!
Build An Ai Trading System That Make Money Daily

Identifying Key Structures & Liquidity Zones

Do you want to setup your Casino and start earning interest rates? Follow me to read on 

DGM Trading AI Processes, Procedures and Results

AI Processes and Procedures

Some Trading Factors Used by AI or bots

What does this mean?




Tips:

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The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

  • An income generated exchange platform

How It Works?


DGM Candles Pattern Scanner


Closing-Marubozu-Pattern



Tips:

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The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

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How It Works?


DGM Technical Scanner


EXPERT INSTANTLY – The BEST CANDLESTICK PATTERNS



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DGM Trading Information

AI Sleeping Income With DGM System

The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

  • An income generated exchange platform

How It Works?


CHWY Sell Put Options Again in March 2024


In 1993, Buffett spoke to Columbia University’s Business School graduates. Asked about his method for evaluating risk, he said, “Risk comes from not knowing what you’re doing.” This quote reflects Buffett’s investment philosophy, highlighting the crucial role of knowledge and understanding in reducing risk.



Tips:

The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” Mark Zuckerberg ⬇️⬇️⬇️


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Yahoo Finance with MARKOV Strategy

About DGM

A Regime Switching Model can help identify and switch between different market regimes, such as mean reversion (when prices tend to revert to a mean) and momentum trending (when prices follow a trend). One common approach to model such regimes is using a Markov Regime Switching Model (MRS), where the market can switch between different states (regimes) based on probabilities.

Here’s a guide on how you could implement this:

1. Define the Regimes:

  • Mean Reversion: In this regime, prices fluctuate around a long-term mean. The idea is to buy when prices are below the mean and sell when they are above the mean.
  • Momentum Trending: In this regime, prices tend to follow a trend. The strategy here is to go long during an uptrend and short during a downtrend.

2. Data Preparation:

  • Collect historical price data (e.g., closing prices).
  • Compute indicators that capture mean reversion and momentum behavior. Common indicators include:
    • Mean Reversion: Moving average (MA), Bollinger Bands, Z-Score.
    • Momentum: Moving Average Convergence Divergence (MACD), Relative Strength Index (RSI), trend-based indicators.

3. Markov Regime Switching Model:

  • The Markov model assumes that the market can be in one of two or more regimes, with a certain probability of switching between them.
  • The key parameters are the transition probabilities between regimes and the characteristics (e.g., mean, variance) of returns in each regime.

Steps to Implement:

  1. Model the Log Returns: Use log returns of the asset prices to model changes. These will serve as the inputs to the regime switching model.
  2. Define Two Regimes:
    • Regime 1: Mean-reversion behavior.
    • Regime 2: Momentum/trending behavior.
  3. Fit the Model: Use a package like statsmodels in Python to fit the Markov Regime Switching Model. Here’s an example using MarkovAutoregression:

import numpy as np
import pandas as pd
from statsmodels.tsa.regime_switching.markov_regression import MarkovRegression

Example of fitting Markov Regime Switching model to stock returns

Generate log returns from price data

prices = pd.Series([100, 102, 104, 103, 102, 106, 108, 110, 112])
log_returns = np.log(prices / prices.shift(1)).dropna()

Fit Markov Switching model

model = MarkovRegression(log_returns, k_regimes=2, trend=’c’, switching_variance=True)
results = model.fit()

Print summary

print(results.summary())

Predict the regime at each time step

regimes = results.smoothed_marginal_probabilities[0] # Regime probabilities
print(regimes)

This code fits a two-regime Markov switching model to the log returns. The results object contains the parameters and probabilities of being in each regime over time.

4. Interpreting the Results:

  • Regime 1: This could represent the mean-reversion regime, where prices tend to revert to their mean.
  • Regime 2: This could represent the momentum-trending regime, where prices exhibit directional trends.

The model estimates the probability of being in each regime at each time step, allowing you to determine whether the market is in a mean-reversion or momentum-trending state.

5. Strategy Implementation:

  • When in Mean Reversion (Regime 1):
    • If the price is below the mean (using indicators like moving averages), go long.
    • If the price is above the mean, go short.
  • When in Momentum (Regime 2):
    • Buy when the trend is upward and sell when the trend is downward.

6. Backtesting and Optimization:

  • Backtest the strategy by switching between the two regimes based on the predicted probabilities.
  • Fine-tune your indicators, such as the length of the moving averages or momentum indicators, to optimize performance.

Libraries to Consider:

  • statsmodels for regime-switching models.
  • hmmlearn for Hidden Markov Models, which is an alternative approach.

By switching between the two regimes based on the probabilities from the regime-switching model, you can potentially capture the market’s mean-reverting or trending behavior at the right time.

The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” Mark Zuckerberg

In 1993, Buffett spoke to Columbia University’s Business School graduates. Asked about his method for evaluating risk, he said, “Risk comes from not knowing what you’re doing.” This quote reflects Buffett’s investment philosophy, highlighting the crucial role of knowledge and understanding in reducing risk.



Tips:

Despite of the crypto dump recently on all the alt coins after SEC announcement to sue Binance and Coinbase. Guess what? My Ai Trading Strategies are making shit ton of USDT from the crazy markets. Well there is a secret and cannot tell you unless…Anyway, I have given you the formula to copy and it is up to you to trade manually with stress and sleepless nights or ride on the trend of Ai trading today ⬇️⬇️⬇️


AI Sleeping Income With DGM System

The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

  • An income generated exchange platform

How It Works?


DGM-Sharp-Ratio-March 2024


About DGM
DGM Sharp Ratio = 3.5
DGM Sharp Ratio = 3.5

In 1993, Buffett spoke to Columbia University’s Business School graduates. Asked about his method for evaluating risk, he said, “Risk comes from not knowing what you’re doing.” This quote reflects Buffett’s investment philosophy, highlighting the crucial role of knowledge and understanding in reducing risk.

The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” Mark Zuckerberg



Tips:

Despite of the crypto dump recently on all the alt coins after SEC announcement to sue Binance and Coinbase. Guess what? My Ai Trading Strategies are making shit ton of USDT from the crazy markets. Well there is a secret and cannot tell you unless…Anyway, I have given you the formula to copy and it is up to you to trade manually with stress and sleepless nights or ride on the trend of Ai trading today ⬇️⬇️⬇️


AI Sleeping Income With DGM System

The SECRET is to marry between Ai trading strategies and an income generated exchange platform

  • Ai trading strategies

  • An income generated exchange platform

How It Works?