Machine Learning for Trading

Machine learning was something that we spoke about on episode five. dimensionality reduction is really when you have A bunch of different like independent variables that all could explain your dependent variable and you don't know which ones or which combination of ones will explain your outcomevariable. The short answer is I wasn't talking about that method of dimensionality reduction Which is also a completely reasonable way to do dimensionality reduction for some problems. And then the second part of the second question was well why would you go back to using a simple model like a linear regression? Why wouldn’t you use something more sophisticated like a neural net or uh Or like a vector machine or something, he said.