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Finaxion Research · CHRW

Which strategy works on CHRW?

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

Findings

On CHRW, 0 of 20 famous strategies beat buy-and-hold on daily bars, and 0 of them hold out of sample. The best is RSI 14: buy oversold (30/70), at -3.3 points a year over buying and holding CHRW. The worst is Heikin Ashi: follow the coloured candles, at -19.3 points a year against buy-and-hold.

  1. On CHRW, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.
  2. The best is RSI 14: buy oversold (30/70): -3.3 points a year over buying and holding CHRW.
  3. The worst is Heikin Ashi: follow the coloured candles: -19.3 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
RSI 14: buy oversold (30/70)×19×44-3.3%+1.4%overfit53
Stochastic: oversold cross (14, 3)×16×44-3.8%+0.8%overfit390
“Sell in May and go away”791.7%×44-6.1%-1.5%58
The golden cross (50/200)448.3%×44-7.9%-3.3%partly47
Supertrend: the line that changes colour402.6%×44-8.3%-3.6%overfit34
2-day RSI (the Connors rule)382.4%×44-8.4%-3.7%overfit716
Bounce off the lower Bollinger band269.4%×44-9.4%-4.7%partly212
Wyckoff: buying the accumulation42.9%×44-12.8%-8.1%overfit176
The MACD cross (12/26/9)42.5%×44-12.8%-8.1%overfit601
Parabolic SAR: follow the dots23.1%×44-13.3%-8.6%overfit621
Only invest above the 200-day average10.3%×44-13.7%-9.0%overfit326
Smart Money: the liquidity sweep0.3%×44-14.0%-9.3%overfit82
ICT / Smart Money: the order block-1.9%×44-14.1%-9.4%overfit20
ADX: trade only in strong trends-18.3%×44-14.7%-10.1%overfit965
Ichimoku: buy above the cloud-39.2%×44-15.7%-11.1%overfit434
ICT / Smart Money: the fair value gap-44.4%×44-16.0%-11.4%overfit166
Upper Bollinger band breakout-50.4%×44-16.4%-11.8%overfit464
The Turtles: 55-day breakout-54.5%×44-16.7%-12.0%overfit118
Kaufman’s adaptive moving average (KAMA)-55.7%×44-16.8%-12.1%overfit1065
Heikin Ashi: follow the coloured candles-79.2%×44-19.3%-14.7%overfit1897

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