Short selling strategies

3 Short Selling Strategies (Trading Strategy Bundles)

This short-selling strategy bundle consists of three short strategies. The idea and logic work in a variety of assets, not only the three different below. Entries are on the close or the next open (and the same for exits).

BUY NOW

The bundle comes with trading rules in plain English and code for Amibroker and TradeStation/EasyLanguage (we also have it in TradingView/Pine Script but we provide no guarantees that it works properly).

None of the strategies are published on the website earlier and all strategies work on a variety of ETFs and futures contracts (and not necessarily on the backtested instruments below).

Please check out our other Strategy Bundles.

Short strategy 1

The backtest below is done on S&P 500 (SPY or @ES):

Strategy and performance metrics:

Short strategy 2

The backtest below is done on XLP (consumer staple ETF):

 

Strategy and performance metrics:

Short strategy 3

The backtest below is done on SMH (semiconductor ETF):

Strategy and performance metrics:

All 3 short strategies combined

If we combine all 3 short strategies and take max one position at a time, we get the following equity curve:

Strategy and performance metrics:

  • #trades: 397 (since year 2001)
  • Average gain per trade: 0.8%
  • CAGR: 13.8%
  • Time spent in the market: 18%
  • Max drawdown: 22%
  • Risk-adjusted CAGR: 77%
  • Win rate: 70%
  • Max consecutive losers: 6
  • Max consecutive winners: 16
  • Profit factor: 2.1
  • Sharpe Ratio: 1.7

Returns per year:

Here you can find more trading strategy bundles

 

Short selling strategies
Short selling strategies

 

FAQ:

What does the short-selling strategy bundle include?

The short-selling strategy bundle comprises three distinct short strategies designed to capitalize on market movements. Each strategy is meticulously crafted to offer a unique approach to short-selling, and they collectively form a powerful bundle suitable for various assets. Here’s a more in-depth look at each component:

What are the key performance metrics for Short Strategy 1?

The total number of trades executed using Short Strategy 1 is 125. The average percentage gain achieved per trade is 0.72%. The Compound Annual Growth Rate, a measure of the geometric progression ratio that provides a constant rate of return, is 2.9%. The maximum drawdown, representing the largest peak-to-trough decline, is 11%.

What happens when all three short strategies are combined?

The overview of the performance metrics when combining all three short strategies, including #trades, average gain per trade, CAGR, time spent in the market, max drawdown, risk-adjusted CAGR, win rate, max consecutive losers, max consecutive winners, profit factor, and Sharpe Ratio.

 

Similar Posts