Using Genetic Programming with Lambda Abstraction to Find Technical Trading Rule
Shu‐Heng Chen, Tina Yu, Tzu-Wen Kuo · Computing in Economics and Finance · 2004
Using GP with lambda abstraction module mechanism to generate technical trading rules based on SP each uses a combination of one to four widely used technical indicators to make trading decisions. The consensus among GP rules is high, with most of the time 80% of the evolved rules give the same decision. The GP rules give high transaction frequency. Regardless of market climate, they are able to identify opportunities to make profitable trades and out-perform buy-and-hold