Study: Buy BIOCON when above 200 SMA and near 50 SMA and above 50 SMA and RSI is above 50

home > technical-strategy > biocon > 22

In this study, we evaluate the performance of strategy "Buy BIOCON when above 200 SMA and near 50 SMA and above 50 SMA and RSI is above 50" under various conditions.

X Analysis

In the table below, we find out the performance of this trading strategy under following scenario: buy BIOCON 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
1-24723.7542162638.12838.077590.83-2697.42-8787.291.050.65-0.045-588.66
2-8343.1342192345.243661.4310401.82-3387.4-8341.991.080.89-0.011-198.65
3152.0242182442.865069.0417752.71-3795.45-10798.011.3410.000163.62
4-28777.4842172540.485673.1221653.54-5008.82-16070.721.130.77-0.025-685.18
526965.6242172540.488433.2637702.24-4655.99-13492.621.811.230.018642.04
64537.9342182442.867844.8242838.06-5694.53-15360.331.381.030.0028108.05
732667.0142231954.767162.2345242.69-6950.75-19370.121.031.250.019777.79
818926.3342202247.628153.0947558.26-6551.62-18091.41.241.130.01450.63
911659.7442202247.627873.5139038.15-6627.75-20506.751.191.080.0068277.61
10-7745.8242182442.869996.1937642.87-7819.89-24030.921.280.96-0.0039-184.42
Although, strategy looks good but profit factor on day 1 is less than minimum accepted value so avoid this, see below for further analysis.

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
atrnil37.79-41218.3548103820.8317588.4220849.12-5713.23-9453.683.080.81-0.023-858.72
50nil22.02-33073.0765174826.156349.787430.65-2937.9-3989.832.160.77-0.031-508.82
50trail21.88-36836.3169185126.095584.877430.65-2693.41-3989.832.070.73-0.036-533.86
50nil32.56-46578.4762115117.749445.5910936.4-2950.59-3989.833.20.69-0.04-751.27
atrtrail34.83-56097.154163829.636915.3320849.12-4387.96-7840.71.580.66-0.04-1038.84
50trail32.21-53094.2267145320.96199.1110958.36-2639.28-3989.832.350.62-0.049-792.45
atrnil26.79-83910.5148113722.9211625.4613899.42-5724.07-9453.682.030.6-0.061-1748.14
atrtrail-15.15-66809.954163829.636245.7820051.12-4387.96-7840.71.420.6-0.051-1237.22
atrtrail24.48-69857.9154163829.636055.2813899.42-4387.96-7840.71.380.58-0.058-1293.67
50trail-12.52-76126.1767145320.94553.9719779.1-2639.28-3989.831.730.46-0.077-1136.21

In the table above, row 1 shows the best exit criterion. Profit factor is 0.81. Profit factor is showing that this strategy doesn't give any edge over rendomness and it is only as good as tossing a coin and doing the trade. Percentage of profitable trades is 20.83%, which is not acceptable. Avoid this strategy. Average return per trade is -0.43%, we advise you not to use this strategy.
In the chart below, we plot cumulative trade gain versus trades using the best exit criterion.
BIOCON Performance, Profit Factor:0.81

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2019308 Jan 2019 (7.3%), 10 Apr 2019 (-2.1%), 07 Oct 2019 (10.42%)
2018727 Mar 2018 (10.18%), 26 Jun 2018 (-3.04%), 09 Jul 2018 (-2.62%), 20 Aug 2018 (8.69%), 30 Oct 2018 (-4.73%), 11 Dec 2018 (-3.21%), 31 Dec 2018 (-2.74%)
2017518 Apr 2017 (-2.26%), 27 Apr 2017 (-3.22%), 07 Jul 2017 (-2.66%), 19 Sep 2017 (-3.06%), 06 Oct 2017 (8.78%)
2016304 Mar 2016 (-2.96%), 01 Dec 2016 (-2.97%), 08 Dec 2016 (-2.66%)
2015529 May 2015 (-2.5%), 10 Jun 2015 (8.62%), 10 Aug 2015 (-2.25%), 05 Oct 2015 (-2.57%), 16 Oct 2015 (-2.24%)
2014610 Feb 2014 (-3.82%), 02 Apr 2014 (-2.52%), 11 Apr 2014 (7.4%), 03 Sep 2014 (-2.83%), 17 Sep 2014 (-3.06%), 04 Dec 2014 (-2.23%)
2013910 Jan 2013 (-2.73%), 06 Feb 2013 (-2.82%), 20 Feb 2013 (-2.88%), 27 Feb 2013 (-2.85%), 05 Apr 2013 (-3.52%), 06 Jun 2013 (-2.27%), 28 Jun 2013 (7.71%), 09 Oct 2013 (-2.77%), 23 Oct 2013 (-2.45%)
2010503 Mar 2010 (9.36%), 31 May 2010 (-2.7%), 03 Jun 2010 (-2.72%), 01 Dec 2010 (-3.92%), 27 Dec 2010 (-2.95%)
2007424 May 2007 (-3.32%), 04 Jul 2007 (-3.09%), 17 Jul 2007 (-2.81%), 17 Sep 2007 (9.47%)
2006127 Feb 2006 (-2.52%)



View performance of other stocks for this trading system.

Get Clearnifty's Android App.

Get clearnifty on Google Play
Get clearnifty on Google Play