What Is The McClellan Oscillator And Summation Index? (Trading Strategy And Backtest)

Today, there are so many indicators used in technical analysis, but only a few are really valuable to retail investors and traders. These indicators are not just used for technical analysis of stock prices but are also used to get an idea of the sentiment in the equity market, helping you determine the number of…

TRIN – Arms Index Trading Strategy – What is it? (Backtest)

Technical indicators help us analyze stocks to know how to trade them, but they focus on the external price action of individual stocks. While this is not bad in itself, knowing the general market sentiment is equally important. This is where the Arms Index comes in. But what is the index about? The Arms index…

Trading Course: Why Do People Think Trading Is So Easy (When It Is Not)?

Only a few people succeed at trading, and those who do, take a long time to learn their craft. As with every other profession, it takes time to understand the different elements of trading. Why Do People Think Trading Is So Easy (When It Is Not)? We have launched a new trading course to help…

The Thanksgiving Holiday Effect In Trading (Black Friday Effect)

Thanksgiving Day is one of the federal holidays in the US. The day after Thanksgiving is called Black Friday and is a day when consumers go on a shopping spree. But how does Thanksgiving affect the US stock markets? Stock market performance during Thanksgiving is higher than any random week. The US financial markets do…

NAAIM Exposure Index (Backtest Trading Strategy)

The NAAIM Exposure Index is becoming a popular indicator for tracking investor sentiment. But what is it about? Compiled by the National Association of Active Investment Managers (NAAIM), the NAAIM Exposure Index represents the average exposure to US Equity markets reported by its members. The indicator line is a two-week moving average of the NAAIM…

President Election Cycles Stocks — What Are They? (Backtest)

In the United States, a presidential election is held every four years. Those presidential elections have been observed to affect many government sectors, including legislation, international relations, and even the stock market. This occurrence inspired the concept of presidential election cycles. But what exactly are they? The presidential election cycle theory is a stock market…

Turtle Trading Strategy: Rules, Statistics, and Backtests – Does It Still Work?

Turtle trading strategies are a trading approach named after Richard Dennis’ popular trading experiment in 1983. The experiment was to determine whether trading was an inborn skill or could be learned. The turtle trading experiment was a huge success, and the strategy employed by those traders was very successful all through the 1980s. But does…

The Easter Holiday Effect In Trading (Holy Thursday – Best Day Of The Year For Stocks?)

Easter is a Christian holiday celebrated across the world. But does it affect trading on the U.S. stock exchanges and other financial markets? We look at how the stock market performs before and after the Easter holiday. Additionally, we specifically look at the performance of stocks the day before Good Friday – Holy Thursday. Easter…

The 4th of July Holiday Effect In Trading (Independence Day Effect – Backtest And Strategy)

The 4th of July (Independence Day) is one of the federal holidays in the US. How does it affect the US financial markets? The US financial markets do not open on the 4th of July, being a federal holiday to mark US independence. No trading takes place on any of the U.S. stock exchanges and…

George Washington Day/President’s Day Holiday Effect In Trading (Backtest And Strategy)

George Washington’s Day/Presidents’ Day is one of the federal holidays in the US. But does it affect the US stock market? The US financial markets do not open on George Washington’s Day or Presidents’ Day. Trading does not take place on any of the U.S. stock exchanges. Backtests determine that trading around this holiday is…

The Martin Luther King Jr. Day Holiday Effect In Trading (Backtest And Strategy)

Martin Luther King Jr. Day is one of the federal holidays observed in the US. How does it affect trading on the US stock markets? The US financial markets do not open on Martin Luther King Jr. Day, which is the third Monday in January. No trading takes place on any of the U.S. stock…

100+ Trading Strategies (Free) – A List of Our Best Quantified Systems

On this page, we have compiled all the trading strategies (trading systems) we have published since our start in 2012 (plus relevant trading strategy articles). The page contains 100+ free trading strategies plus articles about indicators and trading strategy-specific articles. We are confident you find a viable trading strategy among all these articles. If you…

Exponential Moving Average Strategy – Trading Backtest (Does it work?)

Exponential moving average strategy and backtest The exponential moving average is one of the most commonly used among traders. But do you know what it is? And do you know if an exponential average strategy can be used profitably in the stock market? Backtests indicate that exponential moving averages do work: They can be useful…

Hull Moving Average Trading Strategy – Backtest (Does it work?)

Hull moving average strategy backtest Experienced traders know that the best trading indicators are those that can reduce lag, eliminate noise, and quickly respond to sustained market changes. The Hull Moving Average (HMA) seems to tick those boxes. What do you know about the indicator? Is it possible to find profitable Hull moving average strategies?…

Linear-Weighted Moving Average – Trading Strategy Backtest (Does it work?)

Linear-weighted moving average strategy backtest Moving averages are a technical analysis tool that smooths price data over a specific period. They come in different types, and each type has its advantages and limitations. The linear-weighted moving average is one of the common ones. But do you know what it is? And do you know if…

Simple Moving Average – Trading Strategy Backtest (Does It Work?)

Simple moving average strategy backtests Moving averages are one of the most commonly used indicators in technical analysis, and the simple moving average is the easiest one to construct. Do you know what it is? Can you make profitable simple moving average strategies in the markets? Backtests indicate that you can use simple moving averages…

Adaptive Moving Average – Trading Strategy Backtest (Does it work?)

Adaptive moving average strategy backtest (Kaufman’s adaptive moving average) We know that traditional moving averages smoothen price series to reduce noise and show the trend. However, when price makes a temporary but significant leap, it can still give the appearance of a false trend. This is why Perry J. Kaufman invented the adaptive moving average….

Smoothed Moving Average (Wilder’s) – Trading Strategy Backtest (Does it work?)

Smoothed moving average (Wilder’s) strategy backtest The smoothed moving average is not as common as other moving average indicators, but you will come across it in your trading journey. So, it’s good to know what it means. Can a smoother moving average be used profitably in the stock market? Yes, smoothed moving average strategies do…

Variable Moving Average – Trading Strategy Backtest (Does it work?)

Variable moving average strategy backtest Traders have always looked for ways to improve the performance of exponential moving average, and using a volatility index (VI) to adjust the smoothing period as market conditions change has given rise to the variable moving average. But do you know what it is? And do you know if a…

Weighted Moving Average – Trading Strategy Backtest (Does it work?)

Weighted moving average strategy backtest Some simply call it weighted moving average, while others call it linearly weighted moving average. They are referring to the same indicator, which is one of the most popular and widely used MA indicators on most trading platforms. But what is it? And do you know if a weighted moving…

Zero lag exponential moving average – Trading Strategy Backtest (Does it work?)

Zero-lag exponential moving average strategy backtest The moving average is no doubt one of the most widely used technical indicators. While there are different traditional types, many variations are being created all the time to improve on the old versions. The zero-lag exponential moving average is one of the improved versions of the exponential moving…

Volume Weighted Average Price – Trading Strategy Backtest (Does VWAP it work?)

Volume-weighted average price strategy backtest Several indicators are used for technical analysis; some of these indicators combine different market data to tell a better story about what the market is doing. The volume-weighted average price (VWAP), which combines both volume and price data, is one such indicator. But what is it? Can we make profitable…

Variable Index Dynamic Average – Trading Strategy Backtest (Does it work?)

Variable Index Dynamic Average strategy backtest Over the years, chartists have developed indicators to help them analyze the market better. While there are many of these indicators, a few stand out for their usefulness. One of such is the Variable Index Dynamic Average. Do you know what it is? Can we make profitable Variable Index…

Triple Exponential Moving Average TEMA – Trading Strategy Backtest (Does it work?)

Triple exponential moving average strategy  One of the not-so-common moving average indicators used by traders is the triple exponential moving average (TEMA). It is an important trend indicator used by traders to identify trends more closely than a traditional moving average. But do you know what it is? And do you know if a triple…

Triangular Moving Average – Trading Strategy Backtest (Does It Work?)

Triangular moving average strategy backtest Moving averages are the most common and useful technical indicators in forex trading, owing to their effect in smoothening out price movements and showing the actual direction of the trend. There are various types of moving averages. Apart from the common ones you know, such as the Simple Moving Average…

McGinley Dynamic – Trading Strategy Backtest (Does it work?)

McGinley Dynamic Indicator strategy backtest Different types of moving averages are used in technical analysis. However, the McGinley Dynamic indicator stands out for its attempt to solve a problem inherent in moving averages that use fixed time lengths. It’s a type of moving average that is designed to improve existing moving averages. But do you…