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Finaxion Research · STX

Which strategy works on STX?

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

Findings

On STX, 1 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: +1.1 points a year over buying and holding STX. The worst is Bounce off the lower Bollinger band: -28.2 points a year against buy-and-hold.

  1. On STX, 1 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: +1.1 points a year over buying and holding STX.
  3. The worst is Bounce off the lower Bollinger band: -28.2 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×193×157+1.1%+13.5%partly43
Ichimoku: buy above the cloud×156×157+0.0%+12.3%overfit242
ADX: trade only in strong trends×141×157-0.5%+11.8%overfit714
The MACD cross (12/26/9)×87×157-3.0%+9.3%partly436
Kaufman’s adaptive moving average (KAMA)×76×157-3.7%+8.7%overfit818
Parabolic SAR: follow the dots×65×157-4.5%+7.9%overfit522
The golden cross (50/200)×64×157-4.5%+7.8%overfit29
Only invest above the 200-day average×52×157-5.6%+6.7%overfit145
“Sell in May and go away”×50×157-5.8%+6.5%47
The Turtles: 55-day breakout×44×157-6.4%+5.9%overfit90
Heikin Ashi: follow the coloured candles×19×157-10.5%+1.9%overfit1522
Wyckoff: buying the accumulation432.9%×157-16.4%-4.1%overfit158
ICT / Smart Money: the fair value gap52.9%×157-22.0%-9.6%overfit148
Stochastic: oversold cross (14, 3)23.8%×157-22.9%-10.5%overfit321
2-day RSI (the Connors rule)8.6%×157-23.4%-11.1%overfit570
Smart Money: the liquidity sweep-5.6%×157-24.0%-11.7%overfit78
ICT / Smart Money: the order block-15.4%×157-24.5%-12.1%4
Upper Bollinger band breakout-19.1%×157-24.7%-12.3%overfit400
RSI 14: buy oversold (30/70)-24.7%×157-25.0%-12.6%overfit42
Bounce off the lower Bollinger band-66.1%×157-28.2%-15.9%overfit188

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