Course Wiki

Trading Strategy

From prediction to action: fees, timing, position rules, and the strategy archetypes the course simulates.

Module 4 turns predictions into strategies. A strategy is more than a forecast: position sizing, trading fees that eat small edges, when to enter and exit, and how to combine several predictions into one decision. The course surveys the archetypes — single-stock long-term holding, diversified portfolio optimization, market-neutral long-short, event-driven mean reversion, and pairs trading — each with its own risk profile.

Optional advanced tracks cover options strategies and penny-stock/dividend approaches. The unifying lesson: a good prediction with bad strategy mechanics still loses money, so the strategy layer deserves as much design attention as the model.

Taught in

• Machine Learning Zoomcamp

  • Module 3: Machine Learning for Classification
    • Churn prediction project
  • Module 4: Evaluation Metrics for Classification
    • Cross-Validation

• LLM Zoomcamp

  • Module 4: Evaluation
    • Search Parameter Tuning
  • Module 7: End-to-End Project
    • Chunking for Longer Texts

• Stock Markets Analytics Zoomcamp

  • Module 4: Trading Strategy and Simulation
    • Trading Strategy and Simulation ## Related concepts

• Backtesting

• Risk Management

• Time Series Decomposition

• Linear Regression