Finance, Markets and Valuation
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Title: Stock market investment implementing technical analysis strategies: Moving average crossover
Authors: Marcos Pla-María, Fernando García
DOI: Not found
Abstract:
Stock market investors who decide to implement active portfolio management strategies have a wide range of alternatives within the chartist analysis or the technical analysis. But, in order to succeed in terms of return and risk, these strategies must properly be defined and must regard different factors. It is advisable to appeal to the statistical analysis to test the validity of the strategy before implementing it in the real markets. The strategy must be tested carefully, using a wide range of validation data including bear, bull and lateral markets. Overoptimization must be avoided. In this paper the most important aspects to control for when defining an investment strategy based on moving average are analyzed and proposals are made regarding how this strategy should be implemented.
Keywords: Not found
