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Tests Have Shown That If Small Filters Are Used in Simulating

question 21

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Tests have shown that if small filters are used in simulating trading rules, these trading rules have produced above average returns after transactions costs are factored in.


Definitions:

Expectancy Theory

A motivational theory suggesting that individuals are driven to perform based on the expected outcomes of their actions and the value they place on those outcomes.

Additional Incentives

Extra rewards or benefits offered to motivate or encourage specific actions or behaviors beyond the standard expectations.

Self-Efficacy

The confidence in one’s ability to carry out a specific task.

Expectancy Theory

A motivational theory positing that individuals are motivated to act in certain ways based on the expected outcomes of their actions and the value they place on those outcomes.

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