Click here for the Monthly Profit, Trade Count tables and 30 Day Rolling Trade List
Click here for the Since Launch Chart.
Metrics as of May 30, 2017
- Average 5 trades/mo.
- 73% Winners
- 21 Max Consecutive Wins
- 9 Max Consecutive Loss
- Scans the ETFs
- Attempts to buy strength after a short pullback tomorrow with a limit order a small percentage below the close of today.
- Uses a dynamic exit.
- Uses a Connors RSI to exit
- Uses a proprietary formula to determine position size (# of shares/trade)
- Uses a Circuit Breaker to avoid deep drawdowns
- Launched January 2015
A verified version of the scans will be posted by 10:00PM ET before each trading day.
Please take note. This algorithm will not trade 3X leveraged ETFs, however, it does trade 2X. It is the ETF sponsor that is employing the leverage, and it is not a factor of the brokerage account. What this means is that this portfolio can be traded in a Retirement type account or what is called a “cash account.” If the 2X leveraged ETFs are traded in a Margin account, and you use margin, you could be doubling your leverage, something we discourage here at QiT. Since this algorithm is long only it is best suited for a Retirement type account (a cash account) or a margin account that does not use margin.
As well, please note the algorithms trades SHORT ETFs with the same rule set. It is a mean reverting style of trading and reverting to the mean is irrelevant if a trend is up or down, reverting is reverting. If the trend is up, you short because trends revert back to their mean and research shows the ETF will fall. If the trend is down you buy because trends revert back to their mean and research shows the ETF will rise. If a SHORT ETF is falling that means it’s underlying is strong and, as with the other QiT Margin portfolios, you would attempt a short. Buying a SHORT ETF is, in essence, shorting the underlying.