Pascal
12-24-2014, 04:32 AM
In the comment of the day, I wrote about shorting IBB.
We can see that we are just at the 50MA.
27630
I therefore tested a breakdown on volume below the $290 price, using 1000 days to back-test this strategy and the results are poor.
27631
The reason s simple: the Breakout Calculator mainly works for trend following.
Here, we are testing a trend break. There were only two such events in the past two years, which led to much pain as the price moved down to the 200MA.
I still suspect that IBB might go there, but the Breakout Calculator does not provide any help to back that opinion...
27629
We can see that we are just at the 50MA.
27630
I therefore tested a breakdown on volume below the $290 price, using 1000 days to back-test this strategy and the results are poor.
27631
The reason s simple: the Breakout Calculator mainly works for trend following.
Here, we are testing a trend break. There were only two such events in the past two years, which led to much pain as the price moved down to the 200MA.
I still suspect that IBB might go there, but the Breakout Calculator does not provide any help to back that opinion...
27629