Excalibur Pro

A game changer for traders and investors

Excalibur Pro incorporated the Markov Process (more traditionally used in science, engineering and medicine) into its platform and we helped fine-tune the calculations to produce outputs that can often signal an instrument’s price change before it happens. Markov heavily weights recent return and volatility data but also “learns” from five-years of historical data. When the two main Markov states cross, it is worth investors paying attention as this is the signal that can lead to a change in price direction. 

Excalibur Pro also charts and tracks traditional technical analysis tools – Moving Averages, Relative Strength Index (RSI) and the Moving Average Convergence/Divergence indicator. These, couple with Markov, provide investors and traders a powerful tool toward understanding momentum and price movement. We helped create a visualization that presented all of these charts and data on one pop-up screen to help the investor/trader determine trends more clearly. 

A trading tool like no other

The co-founders of Excalibur Pro built their product based on dozens of interviews with traders and fund managers around the world: New York, London, Hong Kong and Singapore. It was through these interviews that they learned of the need for a tool that could back-test several statistical arbitrage pair-trading strategies. We developed a process that helped Excalibur Pro fine-tune these calculations and create meaningful outputs for traders/investors. We helped take these complex calculation outputs and put them into charts that allowed for easy understanding of when trading parameters were reached and what kind of results those trades had created in addition to helping develop a “Trade Simulator” that allows for monitoring of potential trades going forward and their success.  

Highly customizable correlation-calculation tool

Financial instruments tied to macro-economics – currencies, government bonds, commodities and some equities indices – typically see price movement based on three different factors: News (economic data, fiscal policy etc.), events (war, natural catastrophe etc.) and correlation. The founders of Excalibur Pro, through those global interviews, learned that while news and events were well covered by major platform providers, correlation was not. 

We helped Excalibur Pro create highly customizable correlation calculations depending on whether an investor/trader had a short-term or long-term view. The user can track these correlation relationships on Watchlists that will also launch graphs showing 6-months of correlation values to help discover trends or changes in trends. In addition, Excalibur Pro makes it easy to learn of unusual correlation relationships through a Matrix of all of its instruments and other tools.  

Measuring financial market risk

Using a calculation favored by the IMF, Excalibur Pro monitors daily the current performance of “risky” financial instruments against their moving averages to help determine the level of risk that investors and traders are willing to take. We helped create a daily snapshot of these risk metrics as well as a one-year chart to see the ebb and flow of risk over time.  

Alerts

To help keep traders/investor informed about changing relationships between two financial instruments, or developing technical analysis trends, we created the ability to set alerts that are emailed to the trader/investor when those changes occur. 

The common thread across The Excalibur Pro platform

We were told that traders and investors expect results delivered to them quickly. If they need to wait too long, your platform will lose their interest. A key element that we built into the platform was speed of results being returned. For example, each of the statistical-arbitrage pair-trading strategies involve multiple complex series of calculations that in some instances use up to three years of end-of-day daily data. After a trader/investor selects his/her parameters, the results are returned within seconds. This helps the trader/investor make much faster decisions. 

Speed of returning results was a focus for every section of the platform and the founders of Excalibur Pro told us we met every challenge.