FINAXIONResearch
Finaxion Research · WBD

Which strategy works on WBD?

On WBD, 2 of 20 famous strategies beat buy-and-hold on daily bars; 1 of them hold out of sample.

Findings

On WBD, 2 of 20 famous strategies beat buy-and-hold on daily bars, and 1 of them holds out of sample. The best is "Sell in May and go away" at +0.5 points a year over buying and holding WBD, while the worst is ADX: trade only in strong trends at -10.4 points a year against buy-and-hold.

  1. On WBD, 2 of 20 famous strategies beat buy-and-hold on daily bars; 1 of them hold out of sample.
  2. The best is “Sell in May and go away”: +0.5 points a year over buying and holding WBD.
  3. The worst is ADX: trade only in strong trends: -10.4 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
“Sell in May and go away”347.3%302.2%+0.5%-3.8%holds42
Kaufman’s adaptive moving average (KAMA)335.0%302.2%+0.4%-3.9%partly757
The golden cross (50/200)268.9%302.2%-0.4%-4.7%partly36
Ichimoku: buy above the cloud116.9%302.2%-3.1%-7.4%partly271
Only invest above the 200-day average105.3%302.2%-3.3%-7.6%overfit181
The Turtles: 55-day breakout89.4%302.2%-3.7%-8.1%overfit75
Bounce off the lower Bollinger band80.5%302.2%-4.0%-8.3%overfit194
Supertrend: the line that changes colour77.8%302.2%-4.0%-8.4%overfit29
Parabolic SAR: follow the dots51.9%302.2%-4.8%-9.1%overfit477
The MACD cross (12/26/9)47.2%302.2%-5.0%-9.3%overfit409
RSI 14: buy oversold (30/70)27.0%302.2%-5.7%-10.0%overfit38
Heikin Ashi: follow the coloured candles14.1%302.2%-6.2%-10.5%overfit1371
Smart Money: the liquidity sweep9.2%302.2%-6.4%-10.7%overfit92
ICT / Smart Money: the order block3.3%302.2%-6.6%-11.0%6
Upper Bollinger band breakout-5.7%302.2%-7.1%-11.4%overfit330
ICT / Smart Money: the fair value gap-7.3%302.2%-7.2%-11.5%overfit140
2-day RSI (the Connors rule)-12.9%302.2%-7.5%-11.8%overfit522
Stochastic: oversold cross (14, 3)-17.4%302.2%-7.7%-12.0%overfit272
Wyckoff: buying the accumulation-36.9%302.2%-9.0%-13.3%overfit136
ADX: trade only in strong trends-54.1%302.2%-10.4%-14.7%overfit721

Finaxion is an analysis tool, not an investment adviser. This page is not a recommendation. Past performance does not guarantee future results. Prices and series: market data. Computations: Finaxion engine.