ACLS Fib ModelEntered at 23.30 on 6-6-17. Closed position at 25.60 on 6-8-17. Couldn't breach into upper quadrant on 6/9 and fell back into the lower. Another intersection coming early tomorrow. No position.
Algorithm
EUR/AUD Short PositionHere is our 1st EUR/AUD position with our new updated algo.
Only 1 target was generated for a possible 40 pips.
Lets see how this works out.
Good Luck Traders.
2m EU algo - ShortI haven't posted in a while because I have been working on my algorithms lately and have almost entirely ceased manual trading.
From now on, any chart with the blue background is a trade taken by my algorithm.
I can't post targets for exiting positions based because the way it exits winning is too complex.
The algo opens on average 2 positions per day, so I should be able to post most of them. However I may not post the exits and entries at the exact time.
An X will be placed on the candle that position is closed.
Colored arrows will indicate the bar that the position opened.
Some trades are very short, also. This one is probably close to closing before I even wrote this.
Watching GBPUSD to regain bearish momentumWe will be watching to see if GBPUSD can regain its bearish momentum before the Fed announces interest rates on Wed. Although the street does not anticipate any move by the Fed, they may give a hawkish tone and if so that should add fuel to the short side.
With that said we will be looking for a close below the short-term trendline on the hourly chart along with confluence from our price prediction algorithm. If we can get that setup prior to the Feds announcement we will be taking GBPUSD short while correlating it with GBPCHF to give us protection.
AUDJPY Could be getting ready to rallyAUDJPY could be getting ready to rally once again. The long-term trend on the hourly chart is to the upside, if we get the proper setup we will be going Long AUDJPY and correlating it with a Short in NZDJPY.
With proper money management while correlating these pairs it will present many opportunities to be a profitable trade. We can be dead wrong on the AUDJPY Long and still be profitable.
SPX Long/Short Momentum Algorithm Beats S&P500 By A Huge Margin!This simple algorithm uses Exponential Moving Averages of the S&P 500's Relative Strength Index to trigger buy/sell and short/cover signals on a daily chart. I've backtested the algorithm for SPY (1994-present), SPX (1981-present), SPX500 (1971-present), and it beats the S&P 500 in every occasion. The algorithm cannot correctly time every single crash or correction but for the most part, it can avoid and even profit from most major market downturns. Backtest results show that it would have timed both the 2000 and 2008 crashes beautifully.
By the way, a new sell/short signal was generated just a few days ago. The last time this happened was in 2008. Hmm... :)
Algorithm Rules:
Long Entry/Short Exit = EMA100(RSI50) cross> 50
Long Exit/Short Entry = EMA200(RSI50) cross< 50
Enjoy!
~Kory
S&P 500 Long-Term Momentum Tactical ModelThis S&P 500 timing model is comprised of 2 components:
1) A 10-period (50 days) Exponential Moving Average (EMA) and 40-period (200 days) EMA are plotted on the weekly chart of the S&P 500. When EMA10 crosses from above to below EMA40, a sell signal is generated. When EMA10 crosses from below to above EMA40, a buy signal is generated.
2) A 10-period (50 days) Relative Strength Index (RSI) is plotted on the weekly chart of the S&P 500. Then, a 40-period (200 days) moving average (MA) of the RSI is plotted. When the MA crosses from below to above 50, a buy signal is generated, indicating that the market has entered the accumulation phase (bull market). When the MA crosses from above to below 50, a sell signal is generated, indicating that the market has entered the distribution phase (bear market). For simplicity, I've hidden the RSI and only the MA is shown.
IMPORTANT: The model requires 2 sell signals from both components to exit an existing long position but it only requires 1 buy signal from either component to initiate an existing long position. When an existing long position is exited, the model goes to cash until it re-initiates a new long position. As you can see, the model right now is super close to exiting its current long position that was initiated back in December 2011; I'm expecting this to happen next week.
My model is extremely accurate in predicting major crashes and bear markets, such as the 2000 Tech Bubble and 2008 Financial Crisis. However, minor market corrections like the one 2011 could generate fake-out signals and fool the model into thinking that a major crash/bear market is coming when in reality, the market quickly rebounded following the short correction. The strength of the model lies in its ability to predict and avoid major crashes/bear markets, not small corrections. Additionally, the model cannot predict flash crashes (i.e., 1987).
Backtest results from 1970 to present day shows that this model would have outperformed the S&P 500: 8.06% vs. 7.14% CAGR (trading costs and dividends excluded).
Below is a link to the backtest spreadsheet:
docs.google.com
P.S. - I don't know how to code in Pine (yet) so could someone please code this model with the Strategy Tester for me? I would GREATLY appreciate it :) thanks!
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EXPONENTIAL MOVING AVERAGES' SETTINGS
- 1st EMA's length = 10 weeks (50 days)
- 2nd EMA's length = 40 weeks (200 days)
RELATIVE STRENGTH INDEX'S SETTINGS
- Look-back period = 10 weeks (50 days)
- Moving average's length = 40 weeks (200 days)
MODEL'S RULES
Only initiate a new long position when ANY of the following conditions are met:
- MA40(RSI10) > 50
- EMA10 > EMA40
Only exit an existing long position when ALL following conditions are met:
- MA40(RSI10) < 50
- EMA10 < EMA40
