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Finaxion Research · BRK-B

Which strategy works on BRK-B?

On BRK-B, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.

Findings

On BRK-B, 0 of 20 famous strategies beat buy-and-hold on daily bars, and 0 of them hold out of sample. The best is "Sell in May and go away" at -2.9 points a year over buying and holding BRK-B, while the worst is Parabolic SAR: follow the dots at -13.6 points a year against buy-and-hold.

  1. On BRK-B, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.
  2. The best is “Sell in May and go away”: -2.9 points a year over buying and holding BRK-B.
  3. The worst is Parabolic SAR: follow the dots: -13.6 points a year against buy-and-hold.

The 20 strategies, one by one

StrategyReturnBuy and holdExcess (pts/yr)Vs. S&P 500 (pts/yr)Out of sampleTrades
“Sell in May and go away”880.8%×22-2.9%-2.6%overfit60
The golden cross (50/200)865.9%×22-2.9%-2.6%partly37
RSI 14: buy oversold (30/70)614.0%×22-4.0%-3.7%52
Stochastic: oversold cross (14, 3)462.2%×22-4.8%-4.5%overfit423
Only invest above the 200-day average269.8%×22-6.3%-6.0%overfit245
Bounce off the lower Bollinger band223.4%×22-6.7%-6.4%overfit252
Supertrend: the line that changes colour213.5%×22-6.8%-6.5%overfit55
Wyckoff: buying the accumulation206.5%×22-6.9%-6.6%overfit139
The Turtles: 55-day breakout135.6%×22-7.8%-7.5%overfit121
2-day RSI (the Connors rule)131.0%×22-7.9%-7.6%overfit702
The MACD cross (12/26/9)84.7%×22-8.6%-8.3%overfit626
ADX: trade only in strong trends42.5%×22-9.5%-9.2%overfit978
Ichimoku: buy above the cloud40.3%×22-9.6%-9.2%overfit497
Smart Money: the liquidity sweep9.8%×22-10.4%-10.1%overfit104
Upper Bollinger band breakout-2.9%×22-10.8%-10.5%overfit422
ICT / Smart Money: the order block-8.6%×22-11.0%-10.7%overfit34
ICT / Smart Money: the fair value gap-34.3%×22-12.1%-11.8%overfit248
Kaufman’s adaptive moving average (KAMA)-39.3%×22-12.3%-12.0%overfit1108
Heikin Ashi: follow the coloured candles-50.5%×22-13.0%-12.7%overfit1961
Parabolic SAR: follow the dots-59.6%×22-13.6%-13.3%overfit674

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