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

home > technical-strategy > torntpharm > 22

In this study, we evaluate the performance of strategy "Buy TORNTPHARM 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 TORNTPHARM 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
1-9198.5333161748.482155.838573.97-2570.11-11919.080.840.79-0.016-278.74
212966.7733171651.524415.2511423.48-3880.78-9638.551.141.210.016392.93
337964.4233191457.585841.3114603.74-5215.75-13887.371.121.520.0341150.44
410031733181554.559465.9855833.97-4671.35-27227.992.032.430.0523039.92
591983.2833191457.589125.9751025.06-5815.01-23400.771.572.130.052787.37
679565.0933181554.559092.8745355.61-5607.11-20667.031.621.950.0442411.06
711186333201360.6111010.7756087.07-8334.82-23619.461.322.030.0493389.78
815018433191457.5813841.6164388.76-8057.62-25041.011.722.330.0574551.03
913808833181554.5514704.5856340.17-8439.62-30289.781.742.090.0544184.49
1010628133191457.5813028.3360592.26-10089.78-29414.981.291.750.0393220.65
Although, strategy looks good but profit factor on day 1 is less than minimum accepted value so avoid this, see below for further analysis.
TORNTPHARM Performance, X=4, Profit Factor:2.43

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2019114 Mar 2019 (1.46%)
2018308 Feb 2018 (2.9%), 17 Apr 2018 (4.65%), 13 Nov 2018 (-1.1%)
2015408 Jun 2015 (4.2%), 30 Sep 2015 (2.95%), 15 Oct 2015 (4.0%), 30 Oct 2015 (0.51%)
2014315 Jan 2014 (-0.25%), 27 Mar 2014 (0.97%), 16 Apr 2014 (1.13%)
2013319 Feb 2013 (-1.82%), 26 Mar 2013 (0.13%), 29 Apr 2013 (-2.57%)
2012409 Jul 2012 (2.39%), 01 Oct 2012 (-0.01%), 17 Oct 2012 (-1.64%), 05 Dec 2012 (-1.33%)
2010514 Jan 2010 (8.14%), 30 Jul 2010 (-1.26%), 29 Sep 2010 (7.47%), 02 Nov 2010 (-1.09%), 03 Dec 2010 (-0.58%)
2007121 May 2007 (27.92%)
2005220 Apr 2005 (0.8%), 24 Nov 2005 (7.13%)
2004304 Mar 2004 (-3.08%), 12 Apr 2004 (4.98%), 28 Apr 2004 (-0.78%)
2002106 May 2002 (-1.09%)
1999311 May 1999 (-13.61%), 10 Jun 1999 (-4.82%), 30 Jun 1999 (3.46%)

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
atrnil26.2674474.0135161945.7113148.3617496.03-7152.62-10435.61.841.550.0432127.83
50nil32.6251679.4648163233.339391.311463.39-3080.67-3971.623.051.520.0381076.66
atrtrail35.260179.941192246.3410257.1922464.3-6123.03-10435.61.681.450.0311467.8
50trail32.3941140.9649173234.697912.3211170.7-2917.76-3971.622.711.440.032839.61
atrtrail-15.6760341.644016244012631.1880841.17-5906.55-10435.62.141.430.021508.54
atrnil39.354786.0933112233.3319185.3124055.85-7102.38-10435.62.71.350.0281660.18
atrtrail24.6146444.3441192246.349534.2717496.03-6123.03-10435.61.561.340.0271132.79
50trail-13.1927324.2248163233.337543.2934422.22-2917.76-3971.622.591.290.018569.25
50trail22.128272.9649183136.735618.727500.91-2995.61-3971.621.881.090.0081168.84
50nil22.168090.1949173234.696274.87642.26-3080.67-3971.622.041.080.0076165.11

In the table above, row 1 shows the best exit criterion. Profit factor is 1.55. Strategy is showing mildly bullish results but we advice not to take a call solely on the basis of this study. Percentage of profitable trades is 45.71%, which is not acceptable. Avoid this strategy. Average return per trade is 1.06%, which is not very high, don't trade solely on the basis of this study. Sharpe Ratio is 0.043, which is low, don't trade solely on the basis of this study.
In the chart below, we plot cumulative trade gain versus trades using the best exit criterion.
TORNTPHARM Performance, Profit Factor:1.55

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2019114 Mar 2019 (4.6%)
2018308 Feb 2018 (-3.36%), 17 Apr 2018 (5.15%), 13 Nov 2018 (-3.66%)
2015308 Jun 2015 (6.87%), 30 Sep 2015 (8.61%), 30 Oct 2015 (-3.77%)
2014415 Jan 2014 (5.56%), 27 Mar 2014 (-3.13%), 02 Apr 2014 (6.67%), 16 Apr 2014 (7.49%)
2013419 Feb 2013 (-2.61%), 26 Mar 2013 (-2.5%), 02 Apr 2013 (-2.58%), 29 Apr 2013 (-2.16%)
2012509 Jul 2012 (-2.36%), 12 Jul 2012 (5.1%), 01 Oct 2012 (-4.03%), 17 Oct 2012 (-3.25%), 05 Dec 2012 (5.63%)
2010614 Jan 2010 (8.02%), 30 Jul 2010 (-3.09%), 29 Sep 2010 (7.05%), 02 Nov 2010 (-3.47%), 03 Dec 2010 (7.46%), 08 Dec 2010 (8.75%)
2007121 May 2007 (5.83%)
2005220 Apr 2005 (-4.43%), 24 Nov 2005 (5.65%)
2004204 Mar 2004 (-4.78%), 12 Apr 2004 (-4.3%)
2002106 May 2002 (-4.89%)
1999311 May 1999 (-5.22%), 10 Jun 1999 (-4.37%), 30 Jun 1999 (6.74%)



View performance of other stocks for this trading system.

Get Clearnifty's Android App.

Get clearnifty on Google Play
Get clearnifty on Google Play