The Turnaround Tuesday Trading Strategy (Setups, Rules, Performance Analysis)

The Turnaround Tuesday Trading Strategy The Turnaround Tuesday effect happens from the close of Monday’s trading session until (at least) the close of Tuesday’s trading session. The effect is no myth! Let’s do some backtesting to find what seems to work and not work. This article looks at the Turnaround Tuesday trading strategy. Buying on…

200 Day Moving Average Trading Strategy – (With Backtest)

The 200-day moving average trading strategy is frequently used as an indicator in the financial markets. Who hasn’t heard about the “Death Cross”, “support at the moving averages”, “the trend is positive because the price is above the averages”, etc.?  Among the moving averages, the 200-day moving average is probably the most used and referred…

Oscillating Indicators Trading Strategies: Statistics, Facts, Evidence And Historical Backtests!

We rank Williams %R as the best oscillating indicator for trading strategies. It’s certainly not the most known nor the most used, but in our humble opinion, our backtests proved Williams %R to be the most stable indicator for almost all of our parameters. It’s not the indicator with the highest return, but it has…

Lower Highs And Lower Lows Pattern Trading Strategy (Setup and Backtest Analysis)

The lower highs and lower lows pattern signals a downtrend. Is this likely to continue or reverse? What is the meaning of a lower highs and lower lows pattern? In almost all markets, the lower high and lower low pattern signals a short-term reversal. We develop multiple lower high and lower low trading strategies. The…

The 60/40 Strategy Portfolio – Is It Dead? Backtests, Alternatives, And Substitutes Analysis

Determining the right mix of assets to help you reach your short-term and long-term financial goals is the key to building a winning investment portfolio. For many years, financial advisors and experts recommend the 60/40 portfolio because of its simplicity and favorable risk-adjusted returns. But given the changing economic situations in 2022 and the 60/40…

Rubber Band Trading Strategy: Backtest Insights

As Warren Buffett rightly said: “You need to be fearful when others are greedy, and greedy when others are fearful.” This perfectly applies to the Rubber Band trading strategy, but what is it? The Rubber Band trading strategy is a simple but powerful contrarian/mean-reversion strategy for trading stocks, which is easy to understand and easy…

Daily Trading Edge #26

Instrument/asset S&P 500 (SPY) Trading rules The trading rules of the edge read like this (please also backtest yourself – you might find a way to improve it): Today’s close is a Bearish Engulfing pattern candlestick We have quantified all candlesticks in a separate product which you find by clicking here. Results Trading performance if…

London Breakout Strategy Unveiled: Rules and Backtest Performance

If you are a forex day trader and looking for an effective way to beat the smart money, the London breakout strategy may be your guy. Wondering what the London breakout strategy is? Also known as the London daybreak strategy, the London breakout strategy is a day trading strategy that seeks to trade the upward…

Low Volatility Stocks Strategy: Beta, Performance and Returns Analysis

Some stocks, and indeed some stock market sectors, are known for their relatively stable prices and little intraday fluctuations. Some traders and investors prefer such stocks, as they make use of low volatility stocks strategy. Want to know more about the low volatility stock strategy? Low volatility stock strategy involves investing in stocks with lower…

ISM Manufacturing Index PMI: Backtest Insights

Introduced by the ISM in 1948, ISM Manufacturing Index, or PMI, is a useful resource for assessing the health of the US manufacturing sector. It is one of the key macroeconomic indicators financial market traders monitor on economic calendars because of the impact it can have on various financial markets. Unexpected results can move different…