Financial Data Analysis
Budget: ₹1,500 – ₹12,500 INR
Research Objective:
Your task is to analyze intraday electricity price data in the Great Britain (GB) electricity market over a recent week (01/09/2024 - 08/09/2024). The goal is to identify patterns of volatility and propose a simple trading strategy to capitalize on these patterns.
Tasks:
1. Data Collection:
Obtain day-ahead (hourly) and intraday (half-hourly) electricity price data for the GB electricity market for the week of 01/09/2024 - 08/09/2024.
Present the data clearly in tables or graphs.
Ensure all data sources are appropriately cited.
2. Data Analysis:
Identify periods of high and low price volatility within each day.
Discuss factors contributing to the volatility patterns (e.g., demand fluctuations, weather, renewable generation levels).
Where relevant, support your analysis with external data or news sources.
3. Trading Strategy Proposal:
Propose a simple intraday trading strategy based on your analysis, aimed at profiting from the identified patterns.
Explain the rationale for your strategy and any assumptions you made.
Estimate the potential profitability of your strategy for the analyzed week, providing supporting calculations.
4. Risk Assessment:
Identify key risks associated with your proposed trading strategy.
Discuss how you would mitigate these risks.
5. Reflection:
Briefly discuss the limitations of your analysis.
Suggest ways to improve it if given more time or resources.
Submission Requirements:
Length: Limit the main summary to 2 pages (excluding tables, charts, and appendices).
Identification: Include my full name and email at the top of the document.
Assumptions and Sources: Clearly state all assumptions and cite all sources used.
Analytical Justification: Provide logical reasoning for your insights.
Numerical Evidence: Support your analysis with relevant data and calculations.
Format: Submit your work as a PDF.
Your task is to analyze intraday electricity price data in the Great Britain (GB) electricity market over a recent week (01/09/2024 - 08/09/2024). The goal is to identify patterns of volatility and propose a simple trading strategy to capitalize on these patterns.
Tasks:
1. Data Collection:
Obtain day-ahead (hourly) and intraday (half-hourly) electricity price data for the GB electricity market for the week of 01/09/2024 - 08/09/2024.
Present the data clearly in tables or graphs.
Ensure all data sources are appropriately cited.
2. Data Analysis:
Identify periods of high and low price volatility within each day.
Discuss factors contributing to the volatility patterns (e.g., demand fluctuations, weather, renewable generation levels).
Where relevant, support your analysis with external data or news sources.
3. Trading Strategy Proposal:
Propose a simple intraday trading strategy based on your analysis, aimed at profiting from the identified patterns.
Explain the rationale for your strategy and any assumptions you made.
Estimate the potential profitability of your strategy for the analyzed week, providing supporting calculations.
4. Risk Assessment:
Identify key risks associated with your proposed trading strategy.
Discuss how you would mitigate these risks.
5. Reflection:
Briefly discuss the limitations of your analysis.
Suggest ways to improve it if given more time or resources.
Submission Requirements:
Length: Limit the main summary to 2 pages (excluding tables, charts, and appendices).
Identification: Include my full name and email at the top of the document.
Assumptions and Sources: Clearly state all assumptions and cite all sources used.
Analytical Justification: Provide logical reasoning for your insights.
Numerical Evidence: Support your analysis with relevant data and calculations.
Format: Submit your work as a PDF.