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Finaxion Research · CF

Which strategy works on CF?

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

Findings

On CF, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample. The best is Supertrend: the line that changes colour: -4.9 points a year over buying and holding CF. The worst is Upper Bollinger band breakout: -25.1 points a year against buy-and-hold.

  1. On CF, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.
  2. The best is Supertrend: the line that changes colour: -4.9 points a year over buying and holding CF.
  3. The worst is Upper Bollinger band breakout: -25.1 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
Supertrend: the line that changes colour×25×59-4.9%+5.5%overfit25
Only invest above the 200-day average×23×59-5.3%+5.1%overfit171
The golden cross (50/200)×14×59-8.0%+2.4%overfit29
Ichimoku: buy above the cloud×11×59-9.2%+1.1%overfit277
“Sell in May and go away”832.4%×59-10.2%+0.1%overfit42
The Turtles: 55-day breakout715.4%×59-10.9%-0.6%overfit83
ADX: trade only in strong trends529.6%×59-12.2%-1.9%overfit667
The MACD cross (12/26/9)356.1%×59-13.9%-3.6%overfit447
2-day RSI (the Connors rule)332.3%×59-14.2%-3.8%overfit466
Wyckoff: buying the accumulation275.7%×59-14.9%-4.6%overfit133
RSI 14: buy oversold (30/70)228.7%×59-15.6%-5.2%overfit28
Stochastic: oversold cross (14, 3)157.0%×59-16.8%-6.5%overfit294
Kaufman’s adaptive moving average (KAMA)144.6%×59-17.0%-6.7%overfit735
Parabolic SAR: follow the dots136.9%×59-17.2%-6.9%overfit495
Bounce off the lower Bollinger band94.3%×59-18.2%-7.8%overfit170
ICT / Smart Money: the fair value gap45.0%×59-19.6%-9.3%overfit149
ICT / Smart Money: the order block0.3%×59-21.4%-11.1%2
Smart Money: the liquidity sweep-15.7%×59-22.2%-11.9%overfit92
Heikin Ashi: follow the coloured candles-24.8%×59-22.7%-12.4%overfit1426
Upper Bollinger band breakout-55.2%×59-25.1%-14.8%overfit380

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