Study: Buy ORIENTBANK when ADX is Trending and there is Golden Cross (50 DMA > 200 DMA)

home > technical-strategy > orientbank > 55

In this study, we evaluate the performance of strategy "Buy ORIENTBANK when ADX is Trending and there is Golden Cross (50 DMA > 200 DMA)" under various conditions.

X Analysis

In the table below, we find out the performance of this trading strategy under following scenario: buy ORIENTBANK 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
1-14727.22124833.332919.424920.41-3300.61-5945.60.880.44-0.069-1227.27
2-37874.271239257198.4115340.09-6607.72-14547.751.090.36-0.083-3156.19
3-46943.79124833.334449.6710130.25-8092.81-20999.370.550.27-0.1-3911.98
4-65180.97124833.334661.1610419.68-10478.2-24161.920.440.22-0.12-5431.75
5-60679.37124833.335357.627814.76-10263.73-27830.490.520.26-0.11-5056.61
6-75419.631239253721.235499.28-9620.37-22643.90.390.13-0.17-6284.97
7-42162.25125741.674774.0510343.1-9433.22-24541.430.510.36-0.076-3513.52
8-39763.42127558.335087.817551.13-15075.61-24541.430.340.47-0.063-3313.62
9-55588.241266507197.0113314.04-16461.71-27450.980.440.44-0.07-4632.35
10-30092.691266505942.1513892.91-10957.6-19607.840.540.54-0.05-2507.72
Although, strategy looks good but profit factor on day 6 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
atrnil37.08-37412.741221016.6724758.626315.85-8692.99-11674.262.850.57-0.051-3117.73
atrnil26.33-53918.481221016.6716505.7317543.9-8692.99-11674.261.90.38-0.096-4493.21
atrtrail25.17-52446.361221016.679534.7215467.56-7151.58-10444.641.330.27-0.13-4370.53
atrtrail35.42-60896.171221016.675309.827017.75-7151.58-10444.640.740.15-0.2-5074.68
atrtrail-15.42-60896.171221016.675309.827017.75-7151.58-10444.640.740.15-0.2-5074.68

In the table above, row 1 shows the best exit criterion. Profit factor is 0.57. 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.
ORIENTBANK Performance, Profit Factor:0.57

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2018124 Dec 2018 (-4.47%)
2014108 Jan 2014 (-4.63%)
2012115 Oct 2012 (-3.84%)
2009109 Jun 2009 (-5.84%)
2006116 Oct 2006 (-3.94%)
2004109 Dec 2004 (-3.86%)
2002215 Feb 2002 (-3.35%), 11 Dec 2002 (13.16%)
2001101 Jan 2001 (11.6%)
1999114 Jul 1999 (-5.22%)
1997118 Jun 1997 (-2.89%)
1996120 Feb 1996 (-5.42%)



View performance of other stocks for this trading system.

Get Clearnifty's Android App.

Get clearnifty on Google Play
Get clearnifty on Google Play