Hey guys shyam this side and I'm new at the algo trading things Iβm developing an algo for TSLA and Iβm torn between two approaches. Given TSLAβs tendency to "trend-explode" on news but also mean-revert aggressively during consolidation, Iβm struggling to find a robust entry signal.
Current Setup:
Logic: Currently testing a VWAP-anchored momentum strategy on the 5-minute timeframe.
The Issue: Iβm getting "whipsawed" during sideways mid-day sessions.
My Questions for the Quants:
For a high-volatility ticker like TSLA, do you find Mean Reversion (Bollinger/Kelter) or Trend Following (ADX/EMA Cross) more profitable in the long run?
How are you filtering out the "noise" during Elonβs tweets or macro events? Is anyone using a Regime Filter (e.g., only trading when ATR > X)?
Thanks for any insights! β Shyam