BankNifty Analysis_Simple MA Crossover system with trailing stop
Hello Fellow Traders,
Created a simple Moving Average Crossover System(10,25) with trailing stop loss and surprised to see the backtesting results.
TimeFrame: BANKNIFTY(15 mins time frame)
Strategy Enter: MA Crossover(10,25)
Strategy Exit: Either at Market Close or Stoploss
Backtesting period: 1st Jan 2019 to 31st Mar 2020
Net Profit: 6.54% with a drawdown of 0.46% and profit factor of 2.58
Point to Note: Even though its a very simple and basic strategy, We can appreciate the strength of Moving Averages. That's why, the Industry is still relying on Moving Averages.
Of course, these kind of profits cannot be realized each and every year. Year 2019 has witnessed many important events like Lok Sabha Elections and Corporate Tax Rate Cut, which acts as a major catalyst for stock markets.
In a nutshell, Moving Averages - Simple yet Powerful.
Happy Trading!
Created a simple Moving Average Crossover System(10,25) with trailing stop loss and surprised to see the backtesting results.
TimeFrame: BANKNIFTY(15 mins time frame)
Strategy Enter: MA Crossover(10,25)
Strategy Exit: Either at Market Close or Stoploss
Backtesting period: 1st Jan 2019 to 31st Mar 2020
Net Profit: 6.54% with a drawdown of 0.46% and profit factor of 2.58
Point to Note: Even though its a very simple and basic strategy, We can appreciate the strength of Moving Averages. That's why, the Industry is still relying on Moving Averages.
Of course, these kind of profits cannot be realized each and every year. Year 2019 has witnessed many important events like Lok Sabha Elections and Corporate Tax Rate Cut, which acts as a major catalyst for stock markets.
In a nutshell, Moving Averages - Simple yet Powerful.
Happy Trading!