Algorithmic Trading With Python - Nadaraya Watson Indicator VS. Bollinger Bands: Backtest and Python Code Included!

In this video, we dive deep into the Nadaraya Watson (NW) indicator and compare it to the widely-used Bollinger Bands (BB) to determine which indicator holds up better in real-time trading. We explore their differences, limitations, and advantages by testing them with the same strategy that yielded a potential profit of 143% over one year of trading data. You'll learn about the key flaws of the NW indicator, including its repainting with future candles, and see how it stacks up against Bollinger Bands when those future candles are removed. We then backtest a profitable trading strategy using both indicators, focusing on key metrics like trend identification, stop-loss (SL) and take-profit (TP) settings. Watch until the end to see the code and backtest results, and download the free Python code in the description to try it yourself! ╔═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦═╦══╦═╦═╦══╦═╦═╦══╦═╦═╦ 📘 Book available on Amazon (Algorithmic Trading Hands-On Approach Using Python): https://a.co/d/6woMBHt 💲 Algorithmic Trading Courses and Python for all levels (Udemy Sale Coupons): https://www.codetradingcafe.com/ Happy learning, happy coding ☕ ╚═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩═╩ The code is available here: https://drive.google.com/file/d/1GqRHNXZZ2xq61o-LlatgbfaYzCW3c9PL/view?usp=sharing