Mean Reversion System vs Trend Following System
Quick comparison to help you distinguish these two crypto terms.
Mean Reversion System
intermediate
strategy
A rule-based trading system that identifies when an asset's price has moved abnormally far from its statistical average and enters positions expecting that price to return toward normal levels.
Read full definitionTrend Following System
intermediate
strategy
A rule-based trading system that identifies an established directional price trend and enters positions in that direction, holding until objective exit conditions signal trend exhaustion or reversal.
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