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Testing many different trading rules until you find one that

would have worked in the past is called __________.
Multiple Choice
a. perceived patterning
b. behavioral analysis
c. pattern searching
d. data mining

User Bilge
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1 Answer

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Final answer:

Testing different trading rules to find a historically successful one is called data mining option (d). It uses analytical intelligence to identify patterns in historical data. This practice does not guarantee future success.

Step-by-step explanation:

Testing many different trading rules until you find one that would have worked in the past is called data mining option (d). This practice involves extensively searching through historical data to find patterns that can be exploited for future gains. However, it's important to note that just because a trading strategy worked in the past, it does not necessarily mean it will work in the future, due to the ever-changing nature of financial markets.

When you are examining data to look for trends, you are primarily using analytical intelligence. This type of intelligence refers to the ability to analyze, evaluate, recognize patterns, and think critically. Finally, using existing records to try to answer a research question, unrelated to financial markets, is known as naturalistic observation which is a method used in various scientific fields.

User Ngure Nyaga
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