Quantified Strategies

Sell The Rip Trading Strategy (Backtest) The "Sell the Rip" strategy involves selling overvalued assets to capitalize on price corrections. It's suitable for traders of all levels and requires identifying price peaks to execute sell orders. Successful trades are demonstrated with examples, emphasizing the use of technical analysis and indicators.

CCI TRADING STRATEGY: STATISTICS, FACTS AND HISTORICAL BACKTESTS! 📈 The CCI (Commodity Channel Index) is a technical indicator that measures the current price level of a security relative to an average price level over a given period. It is a momentum oscillator that is used to identify extreme conditions, such as oversold and overbought conditions, in the market. Its readings are relatively high when prices are far above their average and relatively low when prices are far below their average. We backtest the following trading rules: ➨ We use an N-day lookback period (2 to 10 days). ➨ We go long when the CCI crosses below the CCI buy threshold (-50 to -10). ➨ We sell when the CCI crosses above the sell threshold (10 to 50). We decided to backtest the CCI indicator by using a 9-day lookback period and a buy threshold of -90. We sell when the close is above yesterday’s high. However, this is a backtest that might be susceptible to curve fitting. Based on the requirements we get the following equity curve(Shown below). Can the strategy be improved or made different? If you have any suggestions, please comment 👇 #tradingstrategies #tradingstrategy #CCIStrategy #TechnicalIndicators #MomentumTrading #StockMarketAnalysis #Backtesting #TradingSuccess

Machine Learning Trading Strategies

Tradestation Trading Strategies

St Patricks Day Trading Strategy (Backtest)... St. Patrick's Day, initially a religious holiday, has evolved into a global celebration of Irish culture. But does this festive spirit translate into stock market gains? Since 1960, St. Patrick’s Day has shown mixed results, with an average gain of 0.21%. However, all gains have occurred since 1993.

WILLIAMS %R TRADING STRATEGY – 81% WIN RATE – WILLIAMS PERCENT RANGE VS RSI 📉 Williams %R does work. In this post, we explain how to use Williams %R in a trading strategy, and finally, we backtest trading strategies to see if Williams %R works. Does it work? Our conclusion is that Williams %R seems to work pretty well. We backtest the Williams %R trading strategy on the S&P 500 (SPY) and we make the following trading rules: Entry is at the close when the Williams %R is below -90 and exit, when we sell, is when today's close is higher than yesterday's high or when the Williams %R closes above -30. By using optimization we get, perhaps as expected, the best results on short lookback periods. We used a minimum lookback period of two days and a maximum of 25 days. All tests gave a profit factor of two or more, except for 25 days which produced 1.9. The best result is a two-day lookback period. This gives this equity curve (shown below) for SPY since its inception until today. Can the strategy be improved or made different? If you have any suggestions, please comment 👇 #tradingstrategies #WilliamsPercentR #TradingStrategies #TechnicalAnalysis #RSI #StockMarket #Backtesting

Survivorship Bias In Trading And Backtesting In this video, we dive deep into the concept of survivorship bias in trading and backtesting. Survivorship bias occurs when we only focus on successful trading strategies or stocks while ignoring those that have failed or been delisted. This can lead to distorted backtesting results and unrealistic expectations.

RSI & ADX TRADING STRATEGIES (BACKTEST AND RULES) 📈 The RSI, ADX, (and IBS). These technical indicators are good for short-term mean-reversion or trend-following strategies. They complement each other. RSI and ADX are good for short-term reversals, and opposite, ADX is a quality indicator for trend-following strategies. We backtest the following trading rules: * If the IBS is below 0.1, we buy QQQ at the close. * We sell at the close when the IBS is above 0.9. The equity curve looks like the image shown below. The average gain per trade is 0.78%, and the CAGR (how to calculate CAGR) is 12.1% while only being invested 38% of the time, thus having a risk-adjusted return of almost 32% (what is risk-adjusted return?). We believe these numbers are pretty spectacular for such a simple strategy! Can the strategy be improved or made different? If you have any suggestions, please comment 👇 #tradingstrategies #RSI #ADX #TradingStrategies #MeanReversion #StockMarket #TechnicalAnalysis

Risk Adjusted Return: The 5 Best Ratios And Formulas In investing and trading, understanding risk-adjusted returns is key. In our video, we explore five top ratios and formulas: Sharpe Ratio: Compares excess return to risk-free rate per unit of risk. Sortino Ratio: Focuses on volatility of negative returns. Jensen Ratio: Measures deviation from expected return based on CAPM. Treynor Ratio: Emphasizes risk-adjusted return based on portfolio beta. Simple method: Compares returns to time spent invested, ideal for short-term traders.

MACD AND RSI STRATEGY - 81.41% WIN RATE 📈 The MACD and RSI strategy refers to a trading method that makes use of both indicators in analyzing and trading the markets. The combination of both momentum indicators may give more insight into what the market may do next and how it could move in the future. We set up a specific MACD and RSI strategy with trading rules so we can backtest it. We incorporate both the MACD and RSI indicators, and we also use a third indicator as a mean reversion filter. When all three conditions are met, we buy, and we sell when the mean reversion filter reverses (i.e. opposite from the buy criterium). This is it. It’s not very complicated, but it works well. The strategy works best on stocks in a specific sector. Below is what the strategy’s equity curve looks like on an ETF. There are 169 trades, and the average gain per trade is 0.62%. Most years show positive returns, while the negative ones show small losses. The worst year was 2008, with a modest 3.6% loss (compared to 55% for S&P 500). Can the strategy be improved or made different? If you have any suggestions, please comment 👇 #tradingstrategies #MACD #RSI #TradingStrategy #StockMarket #TechnicalAnalysis #ETF