Day Trading Strategies for Beginners By QuantInsti Free Download – Includes Verified Content:
Day Trading Strategies for Beginners
If you are looking to day trade and automate your strategies using Python, then this is the right course for you. Learn momentum trading, scalping and high-frequency trading strategies. Perform in-depth analysis of these strategies on historical data. Then, paper trade and live trade without any installations and downloads.
LIVE TRADING
- Create and backtest momentum day trading strategy and post earning announcement drift strategy
- Describe scalping and code scalping strategy with stop loss and take profit
- Explain order book and high-frequency trading
- Analyse portfolio returns and risk using different performance measures
- Implement best risk management practices in day trading
- Paper trade and live trade your strategies without any installations or downloads
SKILLS COVERED
Quantitative Strategies
Momentum Trading
Post Earnings Announcement Drift
Scalping
High Frequency Trading
Financial and Math Skills
Stop Loss
Take Profit
Optimization
Sharpe Ratio
Python
Numpy, Pandas
Matplotlib
TA-lib
Conditional Flow
LEARNING TRACK 1
This course is a part of the Learning Track: Algorithmic Trading for Beginners
PREREQUISITES
No prerequisites required for this course
SYLLABUS
Introduction to the Course
This section introduces the day trading and explains the advantages of it. Day trading means you enter and exit the trade on the same trading day. Further, it also talks about the backtesting and importance of backtesting in creating trading strategies. Live trade or paper trade the strategies learnt in the course with a single click of the button.
Prologue 3m 45s
Course Overview 2m 51s
Course Structure 2m 6s
Quantra Features and Guidance 3m 48s
Introduction to Python
This section will help you update your knowledge of Python with simple exercises on implementing functions, and manipulating dataframes using Numpy and Pandas libraries. The Quantra environment ensures that you don’t have to install anything for the Jupyter notebooks to function.
Need for Python 3m 7s
Preference for Python 2m
Functionality of Python 2m
How to Use Jupyter Notebook? 1m 54s
Print Statement 5m
My First Jupyter Notebook 10m
Getting Started with Interactive Exercises 5m
Operations and Functions in Python 10m
Divide Two Numbers 5m
Pandas Dataframe 2m 22s
Function Call 5m
DataFrame Axis Label 2m
DataFrame and Basic Functionality 10m
DataFrame Syntax 2m
Dropping/Deleting Columns 2m
Create Pandas DataFrame 5m
DataFrame Indexing 2m
Print Columns 2m
Access Elements of a DataFrame 5m
Add New Column to a DataFrame 5m
Set Column as Index 5m
Add Values of a Column 5m
Additional Reading 10m
Financial Market Data and Visualisation
An important component of a successful strategy is the data set used. In this section, you will learn how to import the correct data from various web resources, so that you can work on your own unique strategy.
Importing Data 1m 44s
Correct Syntax for Importing Stock Data 2m
Importing Time Series Data 10m
Import Data from Yahoo! Finance 5m
Data Visualisation 10m
Plot Line Graph 5m
Plot Bar Graph 5m
Additional Reading 10m
Frequently Asked Questions 10m
Basics of Financial Markets
This section covers the basics of the financial market concept, which includes types of financial instruments, frequently used financial market jargons.
Precap of Financial Markets 51s
Introduction to Financial Markets 1m 45s
Financial Markets 2m
Financial Markets and the Web 2m
Introduction to Financial Instruments 2m 18s
Debt Instruments 2m
Financial Market Jargon 3m 27s
Downtrend Market 2m
Square Off Transaction 2m
Intraday Trading
Day trading or intraday trading is a very popular trading style among traders. In this section, learn the basic building blocks of day trading and its advantages over long term investing. Also, learn to select stocks from the universe which are optimal for day trading. The right stock selection helps us avoid unnecessary risk and maximise our strategy returns.
Overview of Intraday Trading 2m 49s
Day Trading 2m
Day Trading and Investing 2m
Preference for Day Trading 2m
Example of Day Trading 2m
How to Create a Stock Universe 1m 54s
Need of a Stock Universe 2m
Criteria for Stock Universe 2m
Average Dollar Value 2m
Penny Stocks 2m
Shortlist Stocks 2m
Apply Criteria for Selecting Stocks 10m
Read Price Data 5m
Calculate Average Price of the Stocks 5m
Filter Penny Stocks 5m
Momentum Trading Strategies
Momentum trading is a technique where traders buy or sell according to the strength of price trends. This section covers what, why, and types of momentum trading strategies. Further, you will learn the concept of gap-up and gap down and create a momentum day trading strategy using that concept. You will also learn a technique to optimise trading signals and improve strategy returns.
Momentum Trading Strategies 2m 19s
Principle of Momentum 2m
Why Momentum Exists? 2m
Types of Momentum Strategies 2m
Cross-Sectional Momentum 2m
Gap-Up and Gap-Down 2m 40s
Reasons for Gap Creation 2m
What is Gap-Up 2m
Application of Gap Strategy 2m
Gap Strategy 10m
FAQs – Gap Strategy 2m
Calculate Adjusted Open Price 5m
Set Condition for Long Position 5m
Generate Buy Signals 5m
Calculate Strategy Returns 5m
Plot Cumulative Strategy Returns 5m
Improved Gap Strategy 10m
Calculate Rolling Standard Deviations 5m
Analyse Strategy Performance
This section teaches you to analyse the performance of the strategies. You will learn about a library called pyfolio, which is used to analyse performance and risk of financial portfolios. You will learn about Sharpe ratio, maximum drawdown, annualised volatility to analyse your strategy in-depth and from a different perspective.
Analyse Strategy Performance 5m
Pyfolio Function to Analyse Strategy Performance 2m
Calculate Annualised Returns 2m
Additional Reading 10m
Test on Intraday Trading Strategies 12m
Live Trading on Blueshift
This section will walk you through the steps involved in taking your trading strategy live. You will learn about backtesting and live trading platform, Blueshift. You will learn about code structure, various functions used to create a strategy and finally, paper or live trade on Blueshift.
Section Overview 2m 19s
Live Trading Overview 2m
Vectorised vs Event Driven 2m
Process in Live Trading 2m
Real-Time Data Source 2m
Blueshift Code Structure 2m 57s
Important API Methods 10m
Schedule Strategy Logic 2m
Fetch Historical Data 2m
Place Orders 2m
Backtest and Live Trade on Blueshift 4m 5s
Additional Reading 10m
Blueshift Data FAQs 10m
Live Trading Template
Paper/Live Trading Gap Up and Down Strategy 10m
Blueshift FAQs 10m
Post Earnings Announcement Drift
After the earnings announcements of a company, sometimes there is an unusual movement in the price of that company. This section covers the concept of post-earnings announcement drift, how to capture that drift, and create a trading strategy based on the same idea on single and multiple stocks.
Post Earnings Announcement Drift 2m 6s
What is PEAD? 2m
Why Use Standard Deviation? 2m
Retrieve Earnings Announcement Data 2m
PEAD Strategy on Single Stock 10m
Select Labels From Column 5m
Time of Earnings Announcements 2m
PEAD Strategy on Portfolio 10m
Additional Reading 10m
Scalping
Scalping is a trading paradigm where we take positions for a short period of time. This is primarily done to avoid adverse market events like unfavourable news. This section gives an overview of the need and advantages of scalping. This is brought out using the implementation of a minute level ATR based scalping strategy. The optimisation of exit thresholds, stop-loss and profit-taking, is also something this section deals with.
Introduction to Scalping 2m 26s
Concept of Scalping 2m
Motivation of Scalping 2m
Essential Components of a Scalping Strategy 2m
ATR Scalping Strategy 3m 14s
True Range Measure 2m
Calculate True Range 2m
Rolling Mean of Window 2m
Set Intraday Stop-Loss and Take-profit 2m
ATR Scalping Strategy 10m
Calculate Average True Range 5m
Determine ATR Breakout 5m
Calculate Three Candle High Price 5m
Determine Three Candle High Breakout 5m
Generate Buy Signals 5m
Calculate Take Profit Price 2m
Calculate Stop Loss Price 2m
Exit Optimisation 3m 17s
Higher Threshold 2m
Importance of Stop-loss 2m
Exit Optimisation 10m
Set Exit Thresholds 5m
Paper/Live Trading ATR Scalping Strategy 10m
Additional Reading 10m
Automate Trading Strategy Using IBridgePy
This section deals with the steps required to automate the trading strategy for real trading using IBridgePy.
Additional Reading 10m
Sample Strategy to Run on Interactive Brokers 2m
High Frequency Trading Strategy
This section introduces the basics of market microstructure. This includes the fundamental exchange order types, the concept of ticks, bid-ask spreads and order books. The section culminates by describing in detail an HFT ticking strategy.
Exchange Order Types 2m
Order Type Preference for Long Term Investor 2m
Types of Orders in Order Books 2m
Order Book Parameters 1m 27s
Concept of a Tick 2m
Bid-Ask Spread 2m
Order Book 2m 47s
Buy Market Order 2m
Sell Limit Order 2m
Sell Limit Order II 2m
Ticking Strategy 3m 6s
Buy or Sell Pressure 2m
Bid-Ask Spread 2m
Why a Two-tick Spread? 2m
Exiting a Ticking Strategy 2m
Loopholes in a Ticking Strategy 2m
Additional Reading 10m
Risk Management
Risk management is a very important aspect of day trading. It helps a trader from losing all his capital. This section covers the various methods of risk management. You will learn how to minimise risk by position sizing, setting stop-loss and take-profit thresholds and thoroughly backtesting the trading strategy before live trading.
Risk Management 1m 56s
Risk Management Strategy 2m
Position Sizing 2m
Implementation of Stop Loss 2m
Podcast: Brian Blandin 10m 6s
Additional Reading 10m
Test on Day Trading Concepts 10m
Run Codes Locally on Your Machine
Learn to install the Python environment in your local machine.
Python Installation Overview 2m 18s
Flow Diagram 10m
Install Anaconda on Windows 10m
Install Anaconda on Mac 10m
Know your Current Environment 2m
Troubleshooting Anaconda Installation Problems 10m
Creating a Python Environment 10m
Changing Environments 2m
Quantra Environment 2m
Troubleshooting Tips For Setting Up Environment 10m
How to Run Files in Downloadable Section? 10m
Troubleshooting For Running Files in Downloadable Section 10m
Course Summary
This section includes a course summary and downloadable zipped folder with all the codes and notebooks for easy access.
Course Summary 2m 25s
Python Codes and Data 2m
ABOUT AUTHOR
QuantInsti®
QuantInsti is the world’s leading algorithmic and quantitative trading research & training institute with registered users in 190+ countries and territories. An initiative by founders of iRage, one of India’s top HFT firms, QuantInsti has been helping its users grow in this domain through its learning & financial applications based ecosystem for 10+ years.
WHY QUANTRA®?
- Gain more in less time
- Get taught by practitioners
- Learn at your own pace
- Get data & strategy models to practice on your own
REVIEWS
SHUBHRABARAN DAS Dental Surgeon And Trader, India
This course was very helpful. The optimization part of the strategy was explained very well! The strategies taught are very rare, and the bits and pieces of the content were explained beautifully. Overall, Quantra is doing a wonderful job at teaching!
VISHNU VISWAROOPAN India
A well consolidated Day Trading beginners course from Quantra. It covers all the basics on how to start day trading and discusses few trading strategies. I am surprised at how this course made me realise even how basic assumptions like PEAD can be turned into an effective strategy.
