Backtesting and Profitability Analysis of Algorithmic Trading Strategies

The stock market has long been a popular invest-ment destination for individuals looking to build wealth and beat inflation. With algorithmic trading becoming increasingly widespread, it is important for investors to understand the potential returns and risks associated with various strategies. This research paper focuses on the backtesting and profitability analysis of three technical analysis-based algorithmic trading strategies in the Indian Stock Market: Moving Average, Bollinger Bands, and Ichimoku Cloud Trading. Through a comprehensive analysis of historical data, the paper provides valuable insights into the potential returns and risks of each strategy, helping investors make informed decisions. The paper concludes with a summary of key observations and a discussion of future scope, making it a valuable resource for investors and traders alike.