4 VIX Trading Strategies – Understanding the VIX Index and Its Functionality
An article about VIX trading strategies and explaining: what is the VIX and how does it work? The VIX is a fear index and shows the price you need to pay to get insurance in the stock market. In this...
View Article3 Days Down Overnight Trading Strategy
Introducing the “3 Days Down Overnight Trading Strategy”: This strategy focuses on the S&P 500 index, tracking its movements over a three-day period. If the index closes lower for three consecutive...
View ArticleTop Gold Trading Strategies 2024: 10 Different Types (Backtests)
Navigating gold markets demands strategies that can adapt to its volatility and complexities. This guide zeros in on gold trading strategies that can help you potentially profit and safeguard your...
View ArticleStochastic Indicator Strategy: (Video & Backtest)
Stochastic trading strategy (Backtest) In this section, we tested the stochastics indicator strategy using two trading styles: short-term mean reversion (overbought/oversold) and %K and %D crossovers....
View ArticleOvernight Reversal Strategy
Discovering profitable trading strategies can be both exciting and challenging. One such strategy, known as the Overnight Reversal Strategy, focuses on capitalizing on potential market reversals that...
View ArticleInside Day Trading Strategy – An Inside Day (Rules And Backtest Results)
An inside day is defined by two bars where the last bar has all price action below yesterday’s high and above yesterday’s low. In other words, today’s price action and trading are completely inside...
View ArticleThe Holy Grail in Trading: (Holy Grail Trading Strategy)
The closest thing to a holy grail in trading is diversification. There is no holy grail trading strategy or strategies, but consistency can be achieved via non-correlated strategies. This is not a...
View ArticleS&P 500 Reversal Trading Strategy: (Rules, Setup, Backtest, Performance)
This S&P 500 Reversal Trading Strategy offers a structured approach to potentially profit from market reversals, emphasizing the importance of meticulous testing and adaptability in the dynamic...
View Article3 Best Mean Reversion Strategies: Backtested Buy and Sell Signals Analysis
Today we are presenting three free mean reversion strategies. They were partially published on this website a few years back, and today we make some minor adjustments and present their performance on...
View ArticleLarry Connors’ %b Strategy (Bollinger Band) | Trading Strategies Explained
In chapter 5 of Larry Connors‘ book High Probability Trading, published in 2009, there is a trading strategy called %b strategy. The book contains many strategies which we test in chronological order....
View Article10 Best Swing Trading Strategies 2024 – (Backtested, Setups, Video Analysis)
What is the best swing trading strategy? Is swing trading still profitable with positive returns? We have summarized 10 free swing trading strategies that might help you start your trading career. The...
View ArticleBollinger Bands Trading Strategies: Backtest And Performance
Unlock the full potential of your trading with Bollinger Bands trading strategies that are straightforward and powerful. This guide demystifies how to use Bollinger Bands for robust market entry and...
View ArticleOvernight Trading Strategy In The S&P 500 – 2024
The overnight trading strategy in the S&P 500 involves entering a trade at the market’s close and exiting it at the following day’s open. This strategy relies on specific criteria like the Average...
View ArticleGap Trading Strategy (Trade a Gap Fill With Backtested Examples)
Gap trading strategies have been a popular tool for many decades. Gaps vary in size, variations, and volume depending on the asset you are looking at. Gaps can be traded in any instrument, and certain...
View ArticleLarry Connors’ R3 Strategy (It Still Works) | Trading Strategies Explained
Today we test Larry Connors‘ R3 strategy and we continue backtesting the trading strategies Larry Connors and his team published in 2009 in a book called High Probability ETF Trading. All the...
View ArticleSPY Day Trading Strategy
The SPY Day Trading Strategy presents an intriguing opportunity in the SPY market. By simply adhering to two straightforward criteria – a specific formula threshold and an open-down scenario – traders...
View ArticleVXO Trading Strategy: Leveraging Volatility to Beat the Market Effectively
The VIX and VXO are frequently used to time entry and exits in the S&P 500 and Nasdaq. In this article, we present you with a trading strategy that has beaten the S&P 500 despite being invested...
View Article20 Types Of Moving Average Trading Strategies: (Rules And Backtesting)
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...
View ArticleGold Gap Strategy
The Gold Gap Strategy capitalizes on GLD’s characteristics, requiring specific conditions for entry, including opening above recent highs and substantial gap-ups. By buying on open and exiting on...
View ArticleA Pair Trade in SPY And TLT: Testing Pairs Trading Strategies in Bonds and...
A Pair Trade in SPY And TLT (Pairs Trading Strategies). A few days ago, we witnessed major moves in both long-term Treasuries (TLT) and the S&P 500 (SPY). That is not abnormal: when the going gets...
View ArticleRSI Mean Reversion Trading Strategy – (QQQ, Nasdaq)
We have previously published an article on using RSI on SPY (relative strength index). The RSI has proven to be a valuable indicator/tool for mean reversion in the main stock indices. Today we present...
View ArticleThe Bottom Of The Range Trading Strategy (Range-Bound Trading)
The Bottom Of The Range Trading Strategy is a method for trading stocks or assets. It looks for times when a stock closes near its lowest point of the day and uses a specific formula called the IBS to...
View ArticleRotation Strategy In S&P 500 And Gold (SPY & GLD)
Many traders look at the gold and S&P 500 ratio. The ratio can be used to create sector rotation strategies are popular. One of the reasons is the anticipation of better and more efficient capital...
View ArticleMonthly Momentum Strategy (ETF Sector Rotation Strategy In EEM, SPY, And TLT)
This article presents an ETF rotation strategy. Sector rotation is popular and this is not without merit. The idea is to be in the sector that shows the best recent momentum. Today we present an ETF...
View ArticleAt What Time of Day Does S&P 500 Set High And Low? (Day Trading Strategy)
SPY tends to set its daily high and low during the first and last trading hours, which only make up 31% of the trading day. This suggests traders might find good times to enter or exit positions then,...
View ArticleS&P 500 Mean Reversion Using IBS and RSI 2024
Below is a trading strategy backtested on SPY or the S&P 500: The classical mean reversion strategy in the S&P 500 In plain English the strategy reads like this: Trading Rules The equity curve...
View ArticleBuy Every Open Down Trading Strategy
This Every Open Down Trading Strategy, tested with ETF SPY (representing the S&P 500), operates on a basic principle: buying when the market opens down and selling at the close, with specific...
View Article11 Volatility Trading Strategies: Backtest, Rules, and Performance Insights
Volatility trading strategies can be very profitable. As an example, we show you an equity curve that only trades when volatility is above what is “normal”. We use a 200-day moving average as a filter...
View ArticleFailed Bounce Trading Strategy – (A Failed Bounce Often Precedes Rising Prices)
The failed bounce trading strategy: Rob Hanna at Quantifiable Edges had an interesting article some days ago about bounces in the S&P 500. Let’s test his idea and turn it into a testable...
View ArticleMACD Histogram Trading Strategy in 2024 (Rules, Setup, Backtest, Example)
The MACD-histogram trading strategy is a mean-reversion system that identifies momentum changes and reversal points in the stock market. The strategy has generated 6669 trades on a portfolio of 77...
View ArticleLower Highs And Lower Lows Pattern Trading Strategy (Setup and Backtest...
The lower highs and lower lows pattern signals a downtrend. Is this likely to continue or reverse? What is the meaning of a lower highs and lower lows pattern? In almost all markets, the lower high and...
View ArticleTrend Following Trading Strategies and Systems (Backtest Results)
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...
View ArticleOvernight Short Trading Strategy
Below 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...
View ArticleFour Consecutive Down Days Trading Strategy: A Guide
What happens when SPY is down 4 days in a row? Let’s test 4 down days in a row trading strategy. Entry is on the close and exit is on the first day with a close higher than the previous...
View ArticleHigher Highs and Higher Lows Pattern Trading Strategy & Insights – Rules,...
The higher highs and higher lows pattern signals an uptrend. Is this likely to continue or reverse? In almost all markets, the higher high and higher low pattern signals weak future short-term gains....
View ArticleLarry Connors’ Double Seven Trading Strategy (Double 7 Trading System Explained)
Larry Connors and Cesar Alvarez revealed a trading strategy called Double Seven in their book Short Term Trading Strategies That Work. This is a fairly simple system that at the time worked very well...
View ArticleNasdaq Trading Strategies (Backtested)
What are the top Nasdaq trading strategies, and how can you apply them effectively? Investors often ask this while seeking to achieve better returns. Our guide strips away the complexity, offering you...
View Article6 Pivot Point Trading Strategies: Backtest, Definition, Formula, Analysis,...
Pivot point trading strategies involve using key support and resistance levels calculated from previous market data to determine potential entry and exit points for trades. We have been investing and...
View ArticleDonchian Channels Trading Strategy – Trading Guide and Effectiveness...
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...
View Article200 Day Moving Average Trading Strategy – (With Backtest)
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...
View ArticleXLP Trading Strategies: Trade the Consumer Staples Sector
XLP Trading Strategies focus on mean-reverting assets, such as the XLP ETF, using the Internal Bar Strength (IBS) indicator. The strategy involves entering trades based on specific criteria, including...
View ArticleCotton Trading Strategy – Backtest and Futures Trading Example
For more than 7000 years, cotton has been one of the raw materials used in the production of textiles and other fiber-requiring materials including fishnets and gunpowder. In fact, its use continues to...
View ArticleHow Does The S&P 500 Perform After 8 Consecutive Up Weeks? (Backtest,...
The S&P 500 is the most followed index in the world. As such, it catches a lot of attention when it is up for many weeks in a row. But how does it perform after being up for eight consecutive...
View ArticleXLK/XLU Ratio Trading Strategy (Backtest, Returns, Python Code)
The XLK/XLU ratio is the XLK ETF price divided by the XLU ETF price. It is often used to read market sentiment. A rising XLK/XLU is considered bullish, while a falling ratio is considered bearish. In...
View ArticleDay Trading Short Selling Strategy: Shorting Intraday Stocks
This article shows you how to short retail investors’ favorite stocks. Is it possible to make money shorting stocks? It is, albeit it’s very difficult. In the context of a bear market, where stock...
View ArticleCoffee Trading Strategy – Backtest, Futures Trading Example, Python Code
Trading commodity futures is one way to diversify your portfolio and explore investment avenues beyond traditional securities, and coffee futures are among the most actively traded soft commodities on...
View Article252-Day High Trading Strategy For Stocks (Complete Amibroker Code)
Is it smart to buy stocks setting 252-day highs? Let’s backtest a 252-day high trading strategy for stocks. The 252-day high trading strategy for stocks returned 9.6% annually while using, on average,...
View Article252-Day Low Trading Strategy For Stocks (Complete Amibroker Code)
Is it a good idea to buy stocks setting 252-day lows? In this article, we backtest a 252-day low trading strategy for stocks. No, it’s not a good idea to buy stocks that set new 252-day lows. The...
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