Monthly Momentum In SPY and TLT
Some days ago I published an article that rotates between SPY, TLT, and EEM based on monthly momentum. Let’s test how this strategy performs when rotating between SPY and TLT:
Continue readingQuantitative analysis and strategies in the financial markets
Some days ago I published an article that rotates between SPY, TLT, and EEM based on monthly momentum. Let’s test how this strategy performs when rotating between SPY and TLT:
Continue readingMany traders swear to stop-losses by default, but to me, it doesn’t make sense because: If you buy something at 100, why should you just put in an arbitrary stop-loss
Continue readingBelow is a very simple and easy strategy to implement: It’s based on monthly quotes in the ETFs SPY, EEM, and TLT. Every month rank them based on last month’s
Continue readingNo matter how good strategies you have, they are most likely worthless if you can’t execute them properly. What looks like a piece of cake in a backtest, is completely
Continue readingBelow is a simple and easy trading strategy to implement in SPY or the S&P 500: IBS (internal bar strength) must be lower than 0.25 (using daily bars). RSI (21)
Continue readingBelow is a simple and easy trading strategy to implement in QQQ: IBS (internal bar strength) must be lower than 0.25. RSI (5) must be below 25. If 1 and
Continue readingIn 2018 I wrote about a potential Monday/Tuesday trade strategy in Nasdaq. How has this strategy performed during the Covid-19 mess? Pretty good, actually. I’ve been trading this strategy, with
Continue readingMost traders and investors have heard that you need to sell in May and go away. Is this just a myth or is it correct? Three years ago I wrote
Continue readingRob Hanna at Quantifiable Edges had an interesting article some days ago about bounces in the S&P 500. I made some changes to his strategy and ended up with these
Continue readingAugust has historically provided good returns for owners of 30-year US treasuries. I read about this seasonality many years back, but I’m quite surprised it still seems to be working
Continue readingBelow is a potential short strategy in the S&P 500: Short= C>Ref(C,-1) AND Ref(C,-1)>Ref(C,-2) AND Ref(C,-2)>Ref(C,-3) AND ADX(5)>35 AND RSI(2)>90 Description: If the close is higher for the third time
Continue readingI often receive e-mails from potential traders that want to get “rich” trading. I tell them to instead consider investing their capital for long-term appreciation, preferably via passive or active
Continue readingBy looking at some potential strategies for S&P 500 I found some very interesting facts that I wouldn’t guess beforehand. I used the ETF SPY as a proxy for the
Continue readingLast week was rather rough for the stock markets all over the world. In the first four days, the S&P 500 lost more than 4%. Media is of course full
Continue readingI had a brief look at the distribution of my trading profits over the last four years. I simply ranked my net profit per day in descending order and got
Continue readingOne very simple strategy for QQQ/Nasdaq: Today is Monday OR Tuesday. IBS (c-l/h-l) is 0.1 or lower. If conditions 1 and 2 are fulfilled, go long at the close. Exit
Continue reading(Article Written by Oscar Wilkinson) Effectively investing in the stock market takes time, experience, knowledge, patience, and the confidence to invest money in what can be an extremely volatile market.
Continue readingMany traders want to take the leap and go full time. Being a full-time employee while your real passion is trading, can drain your energy. It’s frustrating because your mind
Continue readingThis article is off-topic, but in my opinion quite important: International regulators, led by the EU and the USA, are increasingly taking steps to clamp down on money laundering and
Continue readingFor years I have been trading (semi-automatically) using a simple script in Excel. Having focused solely on stocks since 2001, I decided to start looking into futures in early 2017.
Continue readingRob Hannah published last week a potential strategy on his blog. I put a twist to it and made the following strategy: Today’s intraday high must be higher than the
Continue readingIf there is one thing I would like to emphasize with this website, it is the fact that day trading is very hard. On top of that, you always have
Continue readingThe internal bar strength is defined as follows: (close-low)/(high-low). Here is the strategy tested on XLP: Yesterday’s IBS must be lower than 0.15. Today’s IBS must be lower than 0.4.
Continue readingI like to trade boring stocks. Today I picked 19 random (but liquid) low beta stocks (boring stocks) and tested a rotational system in Amibroker (of course with a bit
Continue readingRussell 2000 rebalances their holdings at the end of June every year. Here is what they say about rebalancing: June is the month that the preliminary reconstitution portfolio is communicated
Continue readingSell in May and go away must be one of the most famous phrases in the stock market. But is it correct? This is the first time I test this.
Continue readingSell in May and go away must be one of the most famous phrases in the stock market. But is it correct? This is the first time I test this.
Continue readingThis article covers the newly implemented 5 cents spread in certain stocks and how that has influenced my profit and loss (negatively). Background: On October 3 in 2016 SEC implemented the
Continue readingMy previous post on how I screw up by second-guessing my strategies made me change my trading habits (for the better). I have taken two actions for my day trading:
Continue readingI keep a detailed log of all my trading activities, both day trading, swing trading and long-term positions. I believe this is the only way I can improve my trading.
Continue readingCriteria for entry: If RSI(2) is less than 15, then enter on the close. Exit on close if today’s close is higher than yesterday’s high. Here is the accumulated profit
Continue readingIn 2013 I wrote an article about big moves on Mondays. Here is a twist (and update) on this: Calculate a 25 day average of (h-l)/c. Today is Monday. Close
Continue readingIn July 2012 I published a strategy about an end-of-month strategy in the S&P 500. Here are the criteria: Entry: Day 29, 30 or 31 of the month must be
Continue readingA lot of the best traders (at least the ones I know) use some kind of mechanical rules in their trading. “Mechanical” implies that the rules are based on some
Continue readingArticles about day trading get about twice as many hits as other articles on this website. What’s so appealing with day trading? Is it that most people think it’s easy
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