Algorithm Performance: 08/17/2022
Performance Rankings
The Market: +0.17%
Base Algorithm: +0.16%
Long Term Portfolio: +0.01%
FeelGoodInc: -0.04%
Kokomo: -0.15%
GoodVibrations: -0.33%
What Happened And Why?
This is gonna be another short review, today was a pretty calm day for us. The market was mostly flat, slightly up. Our bullish system pretty much matched it. On the pilot, we didn’t feel great about the market today so we bet on FeelGoodInc. We took a pretty small loss there, but it was the best performing of our safe algorithms, so I’m calling that the right move from us. All in all, not a lot happened today that needs exploring.
If we look at the market and sectors individually, most of them didn’t do much. The only one that was up or down substantially is Energies, and none of our algorithms had much exposure to it.
The performance of GoodVibrations and Kokomo do slightly concern me. A trade-off made by each of them is modeling strength for greater hedging (GoodVibrations moreso than Kokomo). It seems that in the current market environment, the modeling is more valuable than the hedging. I’d like to dig into Kokomo, see if I can make an improved version of it by using the Base Algo’s modeling systems.
I’ve also noticed in our daily exposure charts, our hedgers aren’t quite zero, and actually lean negative in most sectors. I’d like to examine better ways of predicting future stock correlations. The closer we can get these to absolute zero, the better.
Tomorrow’s Outlook
The full algorithm reports will be published tomorrow morning, once Allen has had a chance to vet its recommendations. In the meantime, here are our tentative exposures for the trading day tomorrow:
That’s all for tonight. Thank you all for reading. Congrats to everyone who made money today, let’s keep it up tomorrow.
-Asher
