Study: Sell GODREJCP when RSI is below 50 and there is Bearish Crossover in MACD and ADX is Trending

home > technical-strategy > godrejcp > 28

In this study, we evaluate the performance of strategy "Sell GODREJCP when RSI is below 50 and there is Bearish Crossover in MACD 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: sell GODREJCP 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. buy 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
1-942.529131644.833439.257929.46-2853.3-10844.881.210.98-0.0019-32.5
2-20765.4129121741.38415213411.71-4152.32-15428.5710.71-0.03-716.05
34148.4729151451.724447.4512200.1-4468.8-10328.1111.070.0061143.05
4-49884.152992031.036048.914407.32-5216.21-11965.481.160.52-0.064-1720.14
5-650492992031.035229.429883.58-5605.69-17387.940.930.42-0.079-2243.07
6-35364.629161355.175310.4810704.47-9256.33-27730.550.570.71-0.032-1219.47
7-51002.2429111837.937089.8217718.33-7166.13-18701.70.990.6-0.049-1758.7
8-92091.9429121741.385023.3110430.03-8963.04-20762.490.560.4-0.092-3175.58
9-51504.5129121741.386423.1516942.35-7563.67-18263.270.850.6-0.049-1776.02
10-89539.9329101934.487524.9317243.43-8673.12-16859.870.870.46-0.078-3087.58
Although, strategy looks good but profit factor on day 2 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
atrnil26.37-1052283072323.331354315863.23-8696.9-15644.591.560.47-0.085-3507.59
atrtrail24.75-88759.6132824259136.7115863.23-6743.89-12047.881.350.45-0.083-2773.74
atrnil39.9-1406093042613.3320028.7622123.67-8489.39-15644.592.360.36-0.11-4686.97
atrtrail34.91-11241432824256179.8718623.11-6743.89-12047.880.920.31-0.12-3512.95
atrtrail-15-1372453272521.884402.268879.88-6722.44-12047.880.650.18-0.19-4288.91

In the table above, row 1 shows the best exit criterion. Profit factor is 0.47. This strategy is not profitable and we advice you not to use it.
In the chart below, we plot cumulative trade gain versus trades using the best exit criterion.
GODREJCP Performance, Profit Factor:0.474

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2019126 Apr 2019 (-2.15%)
2018105 Sep 2018 (6.03%)
2017318 May 2017 (-3.3%), 02 Aug 2017 (-3.64%), 03 Aug 2017 (7.93%)
2015209 Jul 2015 (-3.84%), 14 Aug 2015 (-4.38%)
2013315 Apr 2013 (-3.84%), 11 Jun 2013 (7.14%), 29 Jul 2013 (-4.64%)
2012211 Oct 2012 (6.21%), 28 Dec 2012 (-3.82%)
2011326 Apr 2011 (-3.49%), 26 Aug 2011 (-3.93%), 22 Sep 2011 (7.09%)
2009107 Jan 2009 (-5.32%)
2008217 Oct 2008 (-6.02%), 24 Oct 2008 (-6.11%)
2007219 Mar 2007 (-4.46%), 04 Jun 2007 (7.37%)
2006119 Dec 2006 (-4.04%)
2005107 Nov 2005 (-3.67%)
2004208 Sep 2004 (-2.66%), 15 Oct 2004 (-3.5%)
2003221 Apr 2003 (5.62%), 12 Nov 2003 (-4.21%)
2002330 Jan 2002 (-4.89%), 13 Feb 2002 (-4.89%), 29 Jul 2002 (-7.82%)
2001107 Nov 2001 (-5.41%)



View performance of other stocks for this trading system.

Get Clearnifty's Android App.

Get clearnifty on Google Play
Get clearnifty on Google Play