Study: Buy MCDOWELL-N when above 200 SMA and near 50 SMA and above 50 SMA and ADX is Trending

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In this study, we evaluate the performance of strategy "Buy MCDOWELL-N when above 200 SMA and near 50 SMA and above 50 SMA and ADX is Trending" under various conditions.

X Analysis

In the table below, we find out the performance of this trading strategy under following scenario: buy MCDOWELL-N at the closing price whenever the signal triggers (Rs. 2Lac per trade). Then cover the position "X" trading days later at close_price i.e. sell after "X" trading days. Here are the results of this study:

X DaysNet ProfitTotal TradesWinning TradesLosing Trades% ProfitableAvg Winning TradeMax Winning TradeAvg Losing TradeMax Losing TradeWin/Loss RatioProfit FactorSharpe RatioAvg Trade
126113.521210283.334161.89013.7-7752.24-10030.80.542.680.112176.13
225956.08127558.336387.8414748.86-3751.76-9942.811.72.380.0832163.01
329608.06128466.677543.7516547.95-7685.48-17861.860.981.960.0712467.34
466539.5128466.679657.4619580.98-2680.04-40003.67.210.185544.96
578739.6128466.6712507.7722767.12-5330.64-11028.322.354.690.166561.63
687251.9812937511944.3227068.49-6748.97-9388.971.775.310.157271
7113626128466.6716292.7239671.79-4178.87-8842.113.97.80.179468.86
815243212665028569.1858695.13-3163.92-7157.899.039.030.1612702.63
9153531127558.3323363.6448493.15-2002.93-4421.0511.6616.330.1912794.24
102591691210283.3326540.12134785-3116.31-3578.958.5242.580.1521597.38

From the table above, we see that best results are achieved by holding positions for 10 trading days. Profit factor is 42.58. Strategy is very good and impressively bullish. Percentage of profitable trades is 83.33%, which is excellent. Average return per trade is 10.8%, which is very good.
In the chart below, we plot cumulative trade gain versus trades. This chart is important and informative as it shows the performance of strategy over time.
MCDOWELL-N Performance, X=10, Profit Factor:42.6

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2013106 Sep 2013 (+)
2012129 Oct 2012 (+)
2010318 Mar 2010 (+), 17 Jun 2010 (+), 20 Dec 2010 (+)
2007120 Mar 2007 (-)
2006119 Oct 2006 (+)
2005311 Jan 2005 (+), 25 Oct 2005 (+), 22 Nov 2005 (+)
2004115 Oct 2004 (+)
2003120 Oct 2003 (-)

Strategy Analysis - Exit Criteria

In the study above, exit criterion was that hold the position for "X" trading days. That's one possible exit criterion. However, we can have more elaborate exit criteria. Now we study this strategy under other exit criteria. There are 3 things which you must get to know before proceeding further. Table below shows the performance of this strategy under various exit combinations. Note that nil,nil,-1 is a special exit combination where we just take the best result of "X" Analysis study above.

Stop LossAdjust Stop LossTargetAvg Holding PeriodNet ProfitTotal TradesWinning TradesLosing Trades% ProfitableAvg Winning TradeMax Winning TradeAvg Losing TradeMax Losing TradeWin/Loss RatioProfit FactorSharpe RatioAvg Trade
nilnil-1102591691210283.3326540.12134785-3116.31-3578.958.5242.580.1521597.38
atrnil316.38142948136746.1534365.0543333.86-9034.62-13189.373.83.260.1310996
atrtrail-15.861364201441028.5749474.07117432-6147.68-13124.688.053.220.0759744.25
50nil21.6728983.34158753.336449.817786.82-3230.73-3865.3822.280.11932.22
50trail21.6724552.89157846.676375.417786.82-2509.37-3865.382.542.220.0931636.86
atrnil29.8574217.89136746.1522910.0428889.24-9034.62-13189.372.542.170.0925709.07
atrtrail34.9350429.051441028.5727976.4643333.86-6147.68-13124.684.551.820.0533602.07
50nil32.2118436.74145935.719504.7811680.24-3231.9-3865.382.941.630.0551316.91
50trail32.0710526.43145935.716525.0911134.79-2455.45-3865.382.661.480.039751.89
atrtrail24.513922.41441028.5718849.7928889.24-6147.68-13124.683.071.230.02994.46
50trail-12.79-76.221441028.576170.5412655.62-2475.84-3865.382.491-0.0003-5.44

In the table above, row 1 shows the best exit criterion. Profit factor is 42.58. Strategy is very good and impressively bullish. Percentage of profitable trades is 83.33%, which is excellent. Average return per trade is 10.8%, which is very good.
Performance of strategy chart over time is same as above.

View performance of other stocks for this trading system.