I will try to be very brief but clear:
There is a set of indicators (number = N). All indicators at the same time give a signal to either buy or sell. The probability of choosing the right direction for each indicator = Dn (where index n=1...N). The order opening direction, following the signals of the indicators, is selected in the direction that most of the indicators give signals to.
Question: What is the probability of selecting the correct order opening direction?
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I have been searching for an answer for a week. I do not have energy anymore. Maybe someone has more knowledge in this area. Thanks in advance for the answer!
Without taking into account the "characters" of the indicators, no answer is possible.
It's necessary to have the statistics of these indicators group behaviour on the history. Then the probability is easily calculated.
I.e. without collecting statistical data, and having only the probabilities of all the indicators at hand, the ultimate probability of making the right choice cannot be determined?
I suspected - what not to count.
Thanks for the answers. They have saved me a lot more time.
Thanks again everyone!
I will try to be very brief, but clear:
There is a set of indicators (number = N). All indicators at the same time give a signal to either buy or sell. The probability of choosing the right direction for each indicator = Dn (where index n=1...N). The order opening direction, following the signals of the indicators, is selected in the direction that most of the indicators give signals to.
Question: What is the probability of selecting the correct order opening direction?
-
I have been searching for an answer for a week. I do not have energy anymore. Maybe someone has more knowledge in this area. Thanks in advance for the answer!
IMHO, if your indicators are dependent on each other, then probability theory won't give you anything....
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I will try to be very brief but clear:
There is a set of indicators (number = N). All indicators at the same time give a signal to either buy or sell. The probability of choosing the right direction for each indicator = Dn (where index n=1...N). The order opening direction, following the signals of the indicators, is selected in the direction that most of the indicators give signals to.
Question: What is the probability of selecting the correct order opening direction?
-
I have been searching for an answer for a week. I do not have energy anymore. Maybe someone has more knowledge in this area. Thank you in advance for the answer!