> - Is there some simple experiment that I can run to show that book
> data
> can help in making better short term decisions
>

I am not aware of such experiment, if it exists. However, with JBT,
you can backtest (and forward test) your experimental trading
strategy.


> - What is so special about trading ES - does it have some statistical
> characteristics that makes it suitable
>

Nothing, really, except that it's highly liquid, and the bid/ask
spreads are low.


> - Most of the strategies here rely on optimization of parameters, but
> how do you know it will work in the future
>

We don't. There is a potential for over-optimization and over-fitting.
The remedies are well known: keep the number of parameters low and
test out of sample.


> - What kind of strategies work best for ES - trend-following or anti-
> trend
>

All the sample strategies included with JBT are anti-trend. That
doesn't mean that trend-following strategies would not work, though.


> - How many trades are made each day

Referring to sample strategies again, anywhere between 1 and 10 per
day. However, there is nothing intrinsic about this frequency.


> Following is a summary of my system (still under development):
> Not sure how to interpret these results, any insight will be
> appreciated
>

In this group, we focus on development of the JBT as an auto-trading
framework. That includes all the technical/coding issues pertaining to
trading, backtesting, and optimization. We stay away from the strategy
development discussions, as it is a totally different domain.

> Book data is not readily available - any expert insight will be
> greatly appreciated - suggestions about how to proceed will be even
> better.

We buy book data directly from CME using the project funds. We have
about 2 years worth of ES data, which is about 15 million records.
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