Summary

Daily Stock Select, DSS, is a unique service specialized in providing forecasts, customized forecasts and backtesting services you won’t find in yahoo finance or google finance or any other commercial/academic financial services sites.

Currently the DSS provides 3 services:

  1. Our forecasts: Daily selecting stocks for long positions (this module may return 0 in bear markets). We also daily provide a performance analysis of our portfolio with a measurement of our returns, sharpe ratio, Treynor ratio, relative to the market.
  2. Your forecast: Select stocks according to your set of parameters (Our scientific original parameters are explained in the tutorial section)
  3. Backtesting: compute the performance of a given strategy. You may save your best parameters for use daily in “Your forecast”.

What the DSS is NOT

  • The DSS is NOT a broker, we do NOT offer a trading platform.
  • The DSS is NOT based on any well known technical analysis methods (MACD, Bollinger Bands, RSI...)
  • The DSS is NOT a complete strategy. You need to use your trading skills and make good choices in order to make an optimal use of it.
  • The DSS is NOT an introductory service to stock trading. Users must have some minimal prior knowledge in finance and trading.
  • The DSS is NOT strict about the default settings. You should personalize your options by using the “Backtesting” and “Your forecast” services.
  • The DSS does not guarantee 100% gains according to the “Backtesting” outputs. This may be very subjective and thus depends on your own experience.
  • The DSS does not cover other than the US stock markets and doesn't yet provide shorting strategy.
  • The DSS is NOT a programming (code development) service. Here you fill the boxes with your choice of constraints and Run our algorithms.
  • The DSS by definition cannot be following any specific mathematical equation since its rules and assumptions change daily according to the “Learning” of the updated state of the markets.

F.A.Q.

  • What are the advantages of registering?
  • Do I need to know maths in order to use the DSS?
  • No

  • Do I need to fully understand the DSS algorithms before I can use it?
  • No

  • Do I need to have a good knowledge about the stock markets before I can use the DSS?
  • Yes, definitely.

  • Do I need to read about EVERY single recommended stock before I buy?
  • Yes

  • Will you offer shorting strategies?
  • Yes, soon.

  • Will you cover other stock markets?
  • Yes

  • Do you assume "Normal distributions"?
  • No, never! At any point of our computations, we do never assume any Normal distributions, we instead keep the distributions as they are and deal with subtractions of distributions.

  • How can I cooperate with the DSS?
  • If you are skilled in any of the following and wish to contribute, contact us: Python, Django, Database, Finance papers writing, online ads, screencasting.

  • Can the DSS predict the occurrence of a “black-swan”?
  • No, no one can.

  • Can the DSS protect my portfolio against negative “black-swans”?
  • May be! Actually, the discipline of setting a strict stop-loss and having a dynamic portfolio with no buy-and-hold and no too long term trading, all these are very good measures for protection against negative “black-swans”.

  • Does the DSS favor positive “black-swans”?
  • Notice that the DSS computation of gains/losses takes into account the closing price when the stock price hits the target gain price (usually around +5%). So the objective is not the +5% but the highest potential on that trading day. However when over +5% gains are collected, the position is closed.

  • What's unique about the DSS?
    • “Machine Learning” for trading.
    • No preset assumptions about the market (no rigid equations, no forced fittings...).
    • Transparency about past performance.
    • Exclusion of near quarterly report stocks.
    • One month free trial.

Releases:

DSS v.1 2013

  • Daily selection of stocks for long positions based on linear regressions and trend following.
  • Starring of stocks with good fundamentals and/or upgraded by third party services.
  • Providing Stop-loss and target gains.

DSS v.2 2014

  • Inclusion of Machine Learning techniques for selections.
  • Improvement of overall returns.

DSS v.3 2015

  • Personalized forecasts
  • Backtesting
  • User authentication

Further developments (v.4, coming soon)

  • Shorting strategy
  • Shorting daily Forecasts
  • Shorting backtesting