Build Alpha

Some recent posts in case you've missed what I've been up to The Noise Test - how to find lying backtests x.com/buildalpha/sta… COT Report - using trader positioning for context x.com/buildalpha/sta… Market Breadth - monitor and test market health x.com/buildalpha/sta… News Event Trading - capture effects around economic releases x.com/buildalpha/sta… Out of Sample Testing - first line of defense against overfitting x.com/buildalpha/sta… What does Edge look like? x.com/buildalpha/sta…

COT data won’t replace price. It is not supposed to. 
But it does explain the environment price is operating in. 👉 Read more:
buildalpha.com/commitment-of-…

Example (details in the article): 
Simply being long Nasdaq when large speculators are less bullish dramatically outperformed buy-and-hold over long horizons (risk normalized) Maybe counter-intuitive — and exactly why this data matters. And exactly why you should TEST EVERYTHING!

Every Friday, the CFTC releases one of the most underused datasets in trading: 
the Commitment of Traders (COT) Report. It doesn’t predict price — but it does reveal who’s positioned where. 🧵👇

Market Breadth helps you see what price alone can’t. It’s one of the simplest ways to add context, reduce fragility, and understand market regimes. 👉 Full guide + signals available:
buildalpha.com/market-breadth/

Ask better questions: 
• Does my strategy work when breadth is weak?
• Should I trade breakouts when participation is narrow?
• Do mean-reversion signals improve when sentiment is extreme? TEST EVERYTHING!

Price tells you what the market did. Market Breadth tells you how many stocks participated. When you want to understand market health, breadth is where you look. 🧵👇