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Finaxion Research · MET

Which strategy works on MET?

On MET, 1 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.

Findings

On MET, 1 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample. The best is Stochastic: oversold cross (14, 3): +0.7 points a year over buying and holding MET. The worst is Heikin Ashi: follow the coloured candles: -18.1 points a year against buy-and-hold.

  1. On MET, 1 of 20 famous strategies beat buy-and-hold on daily bars; 0 of them hold out of sample.
  2. The best is Stochastic: oversold cross (14, 3): +0.7 points a year over buying and holding MET.
  3. The worst is Heikin Ashi: follow the coloured candles: -18.1 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
Stochastic: oversold cross (14, 3)×15×13+0.7%+2.5%overfit389
Bounce off the lower Bollinger band583.9%×13-2.6%-0.7%overfit246
2-day RSI (the Connors rule)499.3%×13-3.1%-1.3%overfit600
“Sell in May and go away”498.2%×13-3.1%-1.3%overfit53
Wyckoff: buying the accumulation397.4%×13-3.8%-2.0%overfit122
The golden cross (50/200)171.1%×13-6.3%-4.4%overfit35
RSI 14: buy oversold (30/70)160.8%×13-6.4%-4.6%overfit36
Supertrend: the line that changes colour82.8%×13-7.8%-6.0%overfit37
ICT / Smart Money: the order block3.8%×13-10.0%-8.2%12
ICT / Smart Money: the fair value gap2.6%×13-10.0%-8.2%overfit182
Smart Money: the liquidity sweep-4.9%×13-10.3%-8.5%overfit84
Parabolic SAR: follow the dots-19.5%×13-10.9%-9.1%overfit626
Only invest above the 200-day average-30.7%×13-11.5%-9.7%overfit265
Ichimoku: buy above the cloud-39.3%×13-12.0%-10.2%overfit447
Upper Bollinger band breakout-49.1%×13-12.7%-10.8%overfit386
ADX: trade only in strong trends-55.2%×13-13.1%-11.3%overfit944
The MACD cross (12/26/9)-55.5%×13-13.2%-11.3%overfit552
Kaufman’s adaptive moving average (KAMA)-60.2%×13-13.6%-11.7%overfit941
The Turtles: 55-day breakout-71.9%×13-14.8%-13.0%overfit125
Heikin Ashi: follow the coloured candles-88.7%×13-18.1%-16.2%overfit1847

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