Study: Buy HINDZINC when there is Bullish Crossover in MACD and ADX is Trending

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In this study, we evaluate the performance of strategy "Buy HINDZINC when there is Bullish 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: buy HINDZINC 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
121673873413256.167432.8843786.98-2750.29-13856.812.73.460.0782969.02
225759473343946.5812996.4660355.03-4725.28-19399.542.752.40.0573528.68
31.15091e+0773294439.734061111.12997e+07-6094.1-50727.6566.6443.920.027157659
41.20743e+0773353847.953535451.20053e+07-7887.79-51143.4544.8241.280.026165402
51.20776e+0773373650.683347211.18871e+07-8530.32-50727.6539.2440.330.026165446
61.21158e+0773373650.683374381.19531e+07-10260.61-37837.8432.8933.80.026165970
71.27329e+0773363749.323653291.26119e+07-11323.27-45322.2532.2631.390.026174423
81.2229e+0773353847.953608311.20409e+07-10527.51-46569.6534.2831.570.026167521
91.24038e+0773393453.423284341.21241e+07-11917.2-48920.8627.5631.610.027169914
101.26254e+0773413256.163176661.23399e+07-12466.14-48920.8625.4832.650.027172951

From the table above, we see that best results are achieved by holding positions for 3 trading days. Profit factor is 43.92. Strategy is very good and impressively bullish. Percentage of profitable trades is 39.73%, which is not acceptable. Avoid this strategy. Average return per trade is 78.83%, which is very good. Sharpe Ratio is 0.027, which is low, don't trade solely on the basis of this study.
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.
HINDZINC Performance, X=3, Profit Factor:43.9

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2019320 Feb 2019 (3.29%), 26 Jun 2019 (1.52%), 09 Aug 2019 (-2.5%)
2018223 Oct 2018 (-0.45%), 15 Nov 2018 (-1.18%)
2017415 May 2017 (-4.71%), 30 May 2017 (-2.14%), 18 Aug 2017 (-2.72%), 04 Sep 2017 (2.71%)
2016125 Oct 2016 (-0.67%)
2015103 Sep 2015 (-2.14%)
2014105 Mar 2014 (-1.79%)
2013720 Feb 2013 (-5.02%), 06 Mar 2013 (-0.54%), 26 Mar 2013 (3.17%), 05 Jul 2013 (-0.54%), 08 Aug 2013 (3.11%), 20 Sep 2013 (-3.27%), 09 Dec 2013 (3.39%)
2012328 May 2012 (-3.38%), 08 Sep 2012 (1.11%), 03 Oct 2012 (-3.15%)
2011130 Aug 2011 (-2.19%)
2010507 Jan 2010 (0.99%), 03 Jun 2010 (-5.1%), 09 Jul 2010 (0.63%), 20 Aug 2010 (-4.75%), 27 Sep 2010 (-4.23%)
2009505 May 2009 (6.02%), 19 May 2009 (-4.78%), 02 Jun 2009 (-1.3%), 16 Oct 2009 (2.16%), 10 Nov 2009 (-1.04%)
2008315 Feb 2008 (2.02%), 09 Jul 2008 (12.12%), 28 Oct 2008 (14.63%)
2007326 Feb 2007 (-6.92%), 12 Mar 2007 (-1.8%), 03 May 2007 (-5.51%)
2003222 Jan 2003 (-2.7%), 27 Mar 2003 (5649.83%)
2002504 Feb 2002 (14.49%), 25 Feb 2002 (-1.33%), 21 Mar 2002 (-0.43%), 03 Jun 2002 (0.0%), 05 Aug 2002 (-0.25%)
2001512 Jan 2001 (7.01%), 27 Mar 2001 (-4.31%), 06 Aug 2001 (2.43%), 28 Sep 2001 (-0.65%), 07 Nov 2001 (-25.36%)
2000125 May 2000 (32.37%)
1999617 Mar 1999 (34.91%), 27 May 1999 (0.0%), 21 Jun 1999 (-1.47%), 27 Jul 1999 (-2.91%), 20 Aug 1999 (-1.9%), 10 Sep 1999 (26.53%)
1998425 Feb 1998 (8.76%), 25 Jun 1998 (-7.94%), 09 Dec 1998 (0.0%), 29 Dec 1998 (6.02%)
1997627 Jan 1997 (12.73%), 13 Feb 1997 (6.43%), 03 Mar 1997 (14.07%), 27 Mar 1997 (-3.46%), 13 Nov 1997 (-1.56%), 17 Dec 1997 (8.36%)
1996312 Feb 1996 (1.42%), 08 Apr 1996 (6.4%), 05 Aug 1996 (-2.88%)
1995205 Apr 1995 (-1.52%), 12 May 1995 (-3.58%)

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-131.15091e+0773294439.734061111.12997e+07-6094.1-50727.6566.6443.920.027157659
atrtrail-15.91.22351e+0777314640.264043361.18628e+07-6506.22-14324.2862.1541.880.026158898
atrtrail35.0627572879334641.7717454.9662291.51-6527.95-14324.282.671.920.0493490.23
atrnil39.5741759577284936.363198972233.39-9757.09-18141.243.281.870.0555423.31
atrtrail24.521661082344841.4615637.9448155.59-6564.17-14324.282.381.690.0442641.58
atrnil27.0926453080344642.520840.3948155.59-9653.12-18141.242.161.60.0453306.62

In the table above, row 1 shows the best exit criterion. Profit factor is 43.92. Strategy is very good and impressively bullish. Percentage of profitable trades is 39.73%, which is not acceptable. Avoid this strategy. Average return per trade is 78.83%, which is very good. Sharpe Ratio is 0.027, which is low, don't trade solely on the basis of this study.
Performance of strategy chart over time is same as above.

View performance of other stocks for this trading system.

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