In this post, we’ll walk you through three long-term trading strategies that aim to reduce drawdowns, ride bull markets, and potentially outperform buy-and-hold with less stress. These are the 3 long-term strategies that work: 1. The 200-Day Moving Average Strategy…
In recent years, the cryptocurrency market has rapidly transformed from a niche innovation into a significant segment of the global financial system. By March 2025, its total market capitalization soared past $3 trillion, with over 100 cryptocurrencies individually exceeding $1…
This post looks into a recent study titled “Does Trend Following Still Work on Stocks?” by Zarattini, Pagani, and Wilcox, which extends the foundational 2005 work by Wilcox and Crittenden. We emphasize that we at QuantifiedStrategies.com have NOT backtested or…
The Death Cross in trading is a widely cited phenomenon in the financial media. As of writing, the media is full of stories about the price of Bitcoin being close to the Death Cross. In this article, we look at…
Golden Cross Trading Strategy is famous and a cited phenomenon in the media. In this article, we look at the performance of the Golden Cross in the S&P 500. A Golden Cross involves two moving averages – one short and…
The right trading tool enables you to enter the market cautiously but exit when there are signs of reversal, just as the professionals do it — one indicator that may help with that is the REX Oscillator. What do you know…
The Weekend Trend Trader trading strategy is a mechanical and systematic trading system designed for part-time traders, allowing them to make decisions and manage trades during the weekend when markets are closed. In this article, we explain the Weekend Trend…
Yes, the turtle trading strategy still works today. It is a trend-following strategy, so it works in markets with clear trends. While the original strategy, which is based on identifying breakouts, still works reasonably well, traders have modified the turtle…
Trend trading and Mean reversion trading could rightfully be said to be the two biggest and most popular trading styles out there. And while both are used extensively, they capitalize on very different market behavior. Trend following and mean reversion…
Ed Seykota revolutionized trading by integrating technology with trend-following strategies. This article delves into how he transformed a $5,000 investment into $15 million, his core principles, and the legacy he left in the trading world. Key Takeaways The Ed Seykota…
Trend following trading strategies aim to profit from existing market trends. They identify trends using technical analysis tools, enter trades in the direction of the trend, and exit when signs of reversal appear. These strategies focus on momentum, use risk…
Trend following has many followers, for some investors and traders trend following is like a religion. But does trend following work? And if so, why does it work? Yes, trend following does work. If we look at history, even simple…
Gold Moving Average Strategy and Trend following systems work. Below we present a very simple trend following system in gold: In this article, we look at how you can use the 12-month (250-day) moving average to outperform the gold price. Gold…
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.? …
The 9 EMA trading strategy is a widely used technical analysis indicator strategy among traders to identify short-term market trends. It involves the use of the 9-period exponential moving average to generate buy and sell signals. The strategy is easy…
In this article, we will discuss an indicator called SuperTrend, which has a very promising name. So, what is the Supertrend Indicator Trading Strategy exactly? The SuperTrend indicator is a type of trend following indicator that was created by trader…
It is important to be able to identify the beginning of a new trend; equally, it is also important to be able to identify the end of a trend. A well-timed entry fits perfectly with a well-timed exit. The parabolic…
Does trend following work in the S&P 500? We recently came across an article called Breaking into the Blackbox: Trend Following, Stop Losses, and the Frequency of Trading: The Case of the S&P 500. It’s written by academics, but in…
There are many momentum and trend indicators out there, but the Qstick indicator is not one that shows up very often. What is the Qstick indicator? The Qstick indicator is a technical indicator that consists of two moving averages and…
I have just finished reading Curtis Faith’s The Way of The Turtle (for the second time) and below you find some very short comments about the book. This is a very good book! If you’re a beginner or not very…
The DMI trading strategy is often known on most trading platforms by its third component, the average directional index (ADX). Not many know what the DMI is. Let’s take a look at it. The DMI (directional movement index) is a…
Most of the technical indicators that traders use nowadays we developed back in the 70, ’80s, and ’90s. However, the indicator we are going to introduce to you today was created not so long ago, in 2010. It’s called the…
Is it possible to use the ADX indicator (Average Directional Movement Index) (DMI) to find a profitable ADX trading strategy? This article looks at the ADX indicator where we make some historical backtest to evaluate and analyze. The adx indicator…
There are several trading tools and indicators available to us day traders but only a few can track market movements and price action like the Schaff Trend Cycle (STC) does. What do you know about this indicator? The Schaff Trend…
The name may sound freaky, but it is a common strategy used by traders in different markets. You may be wondering what death cross and double death cross mean. The double death cross strategy is a modified death cross where…
Interested in optimizing your market timing and trend identification with moving average trading strategies? This comprehensive guide delves into the intricacies of utilizing fundamental moving averages such as the SMA and EMA. Explore techniques for refining entry and exit points,…
Meb Faber, a famous money manager and writer, has several times stated he is a trend follower at heart. Back in 2015, he published an article about momentum and trend-following strategy called Meb Faber’s Three-Way Model in gold, stocks, and…
Nowadays, data manipulation and programming are essential in finance for analyzing large datasets of historical data, modeling different financial scenarios, and, of course, backtesting trading strategies. But what do they use to do all this? The answer is Python. Python…
If you’re asking ‘what is the success rate of trend-following trading strategies,’ you’re looking for clear-cut numbers and straightforward facts. Trend following, a strategy built on capturing market momentum, does not have a one-size-fits-all success metric. Rather, its efficiency is…
Trend following the S&P 500 is probably not the sexiest thing to do. Back in 2012 Meb Faber published a paper called A Quantitative Approach To Tactical Asset Allocation in the Journal of Wealth Management. Meb Faber found the 200-day…
What are the Donchian Channels and do they work on stocks? The Donchian Channels were invented by Richard Donchian decades ago. They are still a popular tool for traders, but the markets have changed a lot since Donchian’s invention. The…
This article presents some trend following strategies on Bitcoin. Cryptocurrency markets have many of the characteristics of the commodities markets: Wild swings and gyrations, both up and down, exactly what is needed for trend following and momentum strategies. Does this…
