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Finaxion Research · CRL

Which strategy works on CRL?

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

Findings

On CRL, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample. The best is Wyckoff: buying the accumulation: -2.5 points a year over buying and holding CRL. The worst is 2-day RSI (the Connors rule): -13.6 points a year against buy-and-hold.

  1. On CRL, 0 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.
  2. The best is Wyckoff: buying the accumulation: -2.5 points a year over buying and holding CRL.
  3. The worst is 2-day RSI (the Connors rule): -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
Wyckoff: buying the accumulation612.3%×13-2.5%-0.7%overfit157
RSI 14: buy oversold (30/70)267.6%×13-5.2%-3.4%overfit50
Stochastic: oversold cross (14, 3)186.2%×13-6.2%-4.4%overfit348
Parabolic SAR: follow the dots154.9%×13-6.7%-4.8%overfit561
Ichimoku: buy above the cloud151.8%×13-6.7%-4.9%overfit371
ADX: trade only in strong trends138.1%×13-6.9%-5.1%overfit795
The golden cross (50/200)122.7%×13-7.2%-5.4%overfit37
Only invest above the 200-day average58.0%×13-8.6%-6.7%overfit229
Heikin Ashi: follow the coloured candles42.7%×13-9.0%-7.1%overfit1711
“Sell in May and go away”38.4%×13-9.1%-7.2%52
Smart Money: the liquidity sweep27.0%×13-9.4%-7.6%overfit68
Bounce off the lower Bollinger band13.6%×13-9.8%-8.0%overfit204
ICT / Smart Money: the fair value gap-3.1%×13-10.4%-8.6%overfit212
ICT / Smart Money: the order block-5.8%×13-10.6%-8.7%12
Kaufman’s adaptive moving average (KAMA)-6.8%×13-10.6%-8.8%overfit889
The MACD cross (12/26/9)-10.8%×13-10.8%-8.9%overfit510
Supertrend: the line that changes colour-26.4%×13-11.5%-9.7%overfit53
Upper Bollinger band breakout-50.3%×13-13.0%-11.1%overfit420
The Turtles: 55-day breakout-51.2%×13-13.0%-11.2%overfit111
2-day RSI (the Connors rule)-58.1%×13-13.6%-11.8%overfit586

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