Study: Sell TVSMOTOR when there is Dead Cross (50 DMA < 200 DMA)

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In this study, we evaluate the performance of strategy "Sell TVSMOTOR when there is Dead 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: sell TVSMOTOR 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
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

In the table above, row 1 shows the best exit criterion. Profit factor is 0.62. 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.
TVSMOTOR Performance, Profit Factor:0.621

Yearwise Summary of trades in above chart

YearNumber of TradesTrade Dates
2018105 Apr 2018 (-0.13%)
2015126 May 2015 (7.93%)
2013101 Apr 2013 (-5.4%)
2012212 Jan 2012 (-4.88%), 13 Jan 2012 (-3.59%)
2011210 Feb 2011 (-7.46%), 11 Feb 2011 (-7.01%)
2008106 Feb 2008 (-0.23%)
2007123 Nov 2007 (-6.55%)
2006117 Jul 2006 (1.39%)
2005218 Mar 2005 (-4.29%), 21 Mar 2005 (8.59%)
2004218 May 2004 (-9.7%), 19 May 2004 (18.53%)
2003102 May 2003 (-3.84%)
2002104 Nov 2002 (-0.36%)
2001122 May 2001 (-5.2%)

View performance of other stocks for this trading system.

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