# On the Bound of Cumulative Return in Trading Series and the Verification Using Technical Trading Rules

arXiv: https://arxiv.org/abs/2005.13974 · HTML: https://mlsanity.com/paper/2005.13974/

## Key facts

- Cited by 1 papers in the map (data through 14 Oct 2026).
- First posted on arXiv 19 May 2020.

## Built on by (most cited first, 1 of 1)

- [DNN-ForwardTesting: A New Trading Strategy Validation using Statistical Timeseries Analysis and Deep Neural Networks](https://mlsanity.com/paper/2210.11532/) (2022)

## Abstract (arXiv)

Although there is a wide use of technical trading rules in stock markets, the profitability of them still remains controversial. This paper first presents and proves the upper bound of cumulative return, and then introduces many of conventional technical trading rules. Furthermore, with the help of bootstrap methodology, we investigate the profitability of technical trading rules on different international stock markets, including developed markets and emerging markets. At last, the results show that the technical trading rules are hard to beat the market, and even less profitable than the random trading strategy.