Mean Reversion Technique Comparison for S&P 500 and Nasdaq
To identify the most effective mean reversion strategy, we compare three approaches on daily data for S&P 500 E-mini (ES) and Nasdaq-100 E-mini (NQ) futures: Bollinger Bands, RSI-based signals, and Moving Average Deviation (Z-score). Each method defines overbought/oversold conditions differently: Bollinger Bands Method Bollinger Bands use a moving average and standard deviation envelope to gauge … Read more