📅 2024-12-04 — Session: Developed Rolling Correlation Analysis and Trading Strategies

🕒 14:30–17:45
🏷️ Labels: Rolling Correlation, Trading Strategies, Python, Financial Analysis, Hedge Funds
📂 Project: Business
⭐ Priority: MEDIUM

Session Goal

The session aimed to develop and refine rolling correlation analysis techniques and trading strategies, particularly for hedge fund applications and interview preparation.

Key Activities

  • Rolling Correlation Analysis: Expanded plans and executed action plans for rolling correlation analysis tailored for hedge fund strategies, including data preparation, calculation, and visualization using Python and Streamlit.
  • Interview Preparation: Developed visualizations and coding tasks for interview readiness, focusing on rolling correlations and financial data visualization.
  • Python Code Enhancement: Improved Python scripts for asset price trend visualization, incorporating dynamic insights, color map updates, and better handling of datetime objects.
  • Investment Strategy Planning: Recalibrated metrics for CCM’s investment strategy, focusing on time scales, cross-asset dependencies, and probabilistic scenario analysis.
  • Correlation and Trading Analysis: Analyzed high correlation in asset prices, relative performance ratios, and developed strategies for mean reversion and pairs trading.
  • Financial Data Analysis: Set up yfinance for data analysis, calculated correlation matrices, and expanded benchmark space with uncorrelated tickers.

Achievements

  • Completed detailed plans and execution strategies for rolling correlation analysis.
  • Enhanced Python scripts for financial data visualization.
  • Developed comprehensive trading strategies using mean reversion and pairs trading.
  • Successfully fetched data and calculated correlation matrices for benchmark assets.

Pending Tasks

  • Further analysis and visualization improvements for relative performance ratios and trading strategies.
  • Finalize presentation structure for correlation dynamics and pairs trading.
  • Explore Bayesian reasoning applications in correlation-based trading strategies.