3min chapter

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200: “Using market noise to improve strategies” – Martyn Tinsley

Better System Trader

CHAPTER

What Causes Noise in the Markets?

Most traders view noise as being matic, and it just gets in the way of their strategy executing. But there's another side to the qoen. And often with different types of strategy, so for example, reversion strategies, noise can actually work in your favour. If you know how to handle noise, it can actually help you to get out of your trade profitably. Whereas if noise didn't existoyou would maybe struggle with that.

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