Even simpler profitable method

Discussion in 'Technical Analysis' started by Pekelo, Sep 26, 2006.

  1. KS96

    KS96

    Yes. Have you heard of his "Williams R%" system
    from the thread with the same name? :D
    If you get time to backtest it, I would like to see
    the equity curve please. (no fries with that, thanks)
     
    #11     Sep 27, 2006
  2. Pekelo

    Pekelo

    The first pick was SMA12 to be correct, but thanks for the backtest. It looks to me that between trades 35 and 80 the equity curve is going up pretty well, except when the market goes sideways and whipsawing, as expected...
     
    #12     Sep 27, 2006
  3. Pekelo

    Pekelo

    Oh, KS, long time no see! How is the ball doing? Last 2 morning calls were crap, but I wish you good luck with that fries....

    Explanation: he is the guy who wants to know my systems' exact rules for free...Not to mention he got pissed off by me in another thread, and trying to get a revenge. :)
     
    #13     Sep 27, 2006
  4. Pekelo

    Pekelo

    Yes, but not for the public. My friend uses intraday swingtrades, not this long term approach....
     
    #14     Sep 27, 2006
  5. KS96

    KS96

    huh? what are you talking about?
    I never got pissed off at you. Relax mate...
    "your rules for free" :) get real. I was just trying
    to tell you that you can't backtest a system by eye.
    That's all.
     
    #15     Sep 27, 2006
  6. Pekelo

    Pekelo

    Sorry, if I confused you with somebody. It happens...

    OK, fair enough. Anyway, going back to the posted backtest, I never said this strategy made money 20 or 5 years ago. It has been in the last year, according to the backtest, the last 15 trades (which is appr. 1 year) were profitable.

    Now it is easy to see that a strategy like this (just like the MACD crossover one) makes money in trending markets and loses in sideways action. Market behaviour changes over time so statistically speaking in the next 2-3 months this strategy shouldn't work...

    P.S.: I read your "Write down the exact rules of your system,.." out of context, my bad....
     
    #16     Sep 27, 2006
  7. Pekelo

    Pekelo

    Chech the monthly chart. Even SPX stayed above SMA 15 (bounced back from it actually) thus the method provided a nice way of staying in long position for this last rally. Only the NDX broke below the SMA 15 briefly...
     
    #17     Oct 5, 2006
  8. Pekelo

    Pekelo

    This is a reference to the thread Reveal your strategy?

    http://elitetrader.com/vb/showthread.php?threadid=80120

    Here is a chart of the Dow. The last long entry was at dot #1, I posted this strategy 2 days later at dot #2 and 350 Dow points and a month later there was an exit signal at dot #3.

    I bet nobody traded it...I didn't mind to share it because I knew nobody would trade it...
     
    #18     Nov 6, 2006