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Finaxion Research · TDY

Which strategy works on TDY?

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

Findings

On TDY, 0 of 20 famous strategies beat buy-and-hold on daily bars, and 0 of them hold out of sample. The best is Stochastic: oversold cross (14, 3) at -6.0 points a year over buying and holding TDY, while the worst is Ichimoku: buy above the cloud at -18.9 points a year against buy-and-hold.

  1. On TDY, 0 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): -6.0 points a year over buying and holding TDY.
  3. The worst is Ichimoku: buy above the cloud: -18.9 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)×18×73-6.0%+3.0%partly381
“Sell in May and go away”792.5%×73-8.8%+0.1%overfit53
The golden cross (50/200)643.5%×73-9.6%-0.6%overfit35
Supertrend: the line that changes colour575.7%×73-10.0%-1.0%overfit28
Bounce off the lower Bollinger band329.0%×73-11.8%-2.8%overfit228
2-day RSI (the Connors rule)326.9%×73-11.8%-2.8%partly593
RSI 14: buy oversold (30/70)305.9%×73-12.0%-3.0%overfit37
The MACD cross (12/26/9)177.7%×73-13.5%-4.5%overfit556
Wyckoff: buying the accumulation157.2%×73-13.8%-4.8%overfit174
Parabolic SAR: follow the dots94.0%×73-14.9%-5.9%overfit612
Only invest above the 200-day average66.8%×73-15.4%-6.5%overfit255
Kaufman’s adaptive moving average (KAMA)10.7%×73-17.0%-8.0%overfit1018
Smart Money: the liquidity sweep6.1%×73-17.1%-8.2%overfit92
Upper Bollinger band breakout5.2%×73-17.2%-8.2%overfit416
ADX: trade only in strong trends4.8%×73-17.2%-8.2%overfit904
ICT / Smart Money: the fair value gap0.8%×73-17.3%-8.4%overfit174
ICT / Smart Money: the order block-3.9%×73-17.5%-8.6%overfit22
The Turtles: 55-day breakout-23.5%×73-18.4%-9.4%overfit122
Heikin Ashi: follow the coloured candles-29.2%×73-18.7%-9.7%overfit1780
Ichimoku: buy above the cloud-33.0%×73-18.9%-9.9%overfit448

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