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Finaxion Research · CSGP

Which strategy works on CSGP?

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

Findings

On CSGP, 0 of 20 famous strategies beat buy-and-hold on daily bars, and 0 of them hold out of sample. The best is Supertrend: the line that changes colour, at -0.7 points a year over buying and holding CSGP. The worst is 2-day RSI (the Connors rule), at -17.7 points a year against buy-and-hold.

  1. On CSGP, 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: -0.7 points a year over buying and holding CSGP.
  3. The worst is 2-day RSI (the Connors rule): -17.7 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×29×35-0.7%+3.9%partly40
“Sell in May and go away”×19×35-2.4%+2.2%56
ADX: trade only in strong trends×15×35-3.4%+1.2%overfit881
Ichimoku: buy above the cloud×14×35-3.7%+0.9%partly351
Kaufman’s adaptive moving average (KAMA)×12×35-4.2%+0.4%overfit1059
The MACD cross (12/26/9)887.9%×35-5.0%-0.4%overfit565
Heikin Ashi: follow the coloured candles630.5%×35-6.1%-1.5%overfit1804
RSI 14: buy oversold (30/70)565.3%×35-6.5%-1.9%partly53
Parabolic SAR: follow the dots528.9%×35-6.7%-2.1%overfit613
The Turtles: 55-day breakout464.3%×35-7.1%-2.5%overfit112
Wyckoff: buying the accumulation103.1%×35-10.9%-6.3%overfit185
Stochastic: oversold cross (14, 3)57.0%×35-11.8%-7.2%partly386
Only invest above the 200-day average29.5%×35-12.5%-7.9%overfit258
ICT / Smart Money: the order block6.5%×35-13.2%-8.6%overfit12
Smart Money: the liquidity sweep-21.8%×35-14.3%-9.7%overfit94
Upper Bollinger band breakout-24.4%×35-14.4%-9.8%overfit484
ICT / Smart Money: the fair value gap-28.8%×35-14.6%-10.0%overfit236
Bounce off the lower Bollinger band-35.4%×35-15.0%-10.4%overfit218
The golden cross (50/200)-54.6%×35-16.2%-11.6%overfit48
2-day RSI (the Connors rule)-70.2%×35-17.7%-13.1%overfit653

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