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That's fair. :thumbsup: Using fundamentals means you utilize a model that forecasts company KPIs, compares them to the market and street, that helps you identify if incremental information is tradeable. E.g. if BA announces a new 100 plane order, and the stock price jumps 10% on the news, is...

I made an effort to distinguish the difference between what professionals call "technicals" (positioning data, skew, momentum, short interest, adv% deltas, etc.) and what retailers call "technical analysis" which is the use of things like moving averages, rsi, macd, or chart patterns like heads...

agreed, which is why i showed screen grabs of job postings at citadel, which crushes on absolute return. when i think of hedge fund, i don't think of random dude with a brokerage account and some money (me lol), I think MLP, Baly, Citadel, P72, etc. These are the "olympic" teams of markets.

true, a lot of old "macro" guys used candlesticks and charts but that was in the 80s and early 90s when that *was* the quantitative analysis piece. There was a good quote on market efficiency... the first to level of market efficiency makes technicals useless, the second level makes fundamentals...

okay you're just arguing semantics at this point. do hedge funds use price data? yeah sure you can do a lot with it. vast majority of hedge funds (ex-quants) won't use that data as the basis for a price target or thesis, though. the quants who do use it are basing their view on statistical...

price vs peers, estimate revisions, and then calendar (upcoming catalysts). there's no "one thing" that'll tell me everything i need to know quickly, but those data points speed up my process.

i have charts on my monitor too, doesn't i use them for idea generation. it's helpful as a head check and to see what's going on, but is not what's used to develop a view or make a trade.

no.. they do not. please point me to a few funds that use technicals for their long term positions...

Nope. Always surprised when I hear daytraders who think institutional capital is managed with technicals.

oh yeah you got me :rolleyes: here’s an actual p72 job posting (no technical analysis or reference to such lol): https://careers.point72.com/CSJobDetail?jobName=equity-financial-analyst-florida&jobCode=LSI-0007969&retURL=/CSCareerSearch

yes but we're talking about a tiny subset that as a % of population would be no different than the % of monkeys with darts who also beat SPX... :P

severe dunning-kruger here. For the quants who do utilize technical data (e.g. price, time and sales data, etc.), they can spend weeks/months conducting research (reading a lot of research, testing and sampling data, testing and measuring analysis) before they put a trade on. here are snippets...

No lol.

1- Cathie wood is a long only mutual fund manager. Also with an aum over 10b she can’t “hit a stop”, or do whatever retail does, unless she wants to break the market lol. 2- Yes you’re a retail “daytrader” punting e-minis. Congrats. But trading at a hedge fund, or other large investment fund...

I’m staring a lot haha. But the actual work is in a quantitative or fundamental analysis and the research around that. If you were trying to figure out what’s going on with Boeing … do you… look at the chart and use patterns in prices, retail technical indicators, etc. to figure out if there’s...

How did you get quantitative analysis = fundamental analysis out of that? o_O

I’m not asking for a method, just if you have proof that someone trading pure technical “price action” is running a high sharpe consistently over time.

Would love to see some evidence of this. You got some data?

I’m being pretty clear — charts are useless though the data in a chart could be useful but you’d need to learn how to run a z score and regression first. You staring at a bar chart = “technical trader”. Me running a regression = “quantitative analysis”. This is not the same.

If you’re doing quantitative analysis and stats arb this is possible, but the low barrier of entry means most alphas decay quickly. Would love to be proved wrong, but I’ve seen enough quant funds to know how quickly they can crash if they are not constantly updating models, which requires staff...