The purpose of this thread is to track the performance of this strategy. This is an automated strategy written in EasyLanguage for MultiCharts. I will begin recording sim trades on Monday 4/26. These trades will be the first time the strategy has been traded live.
The strategy is named QuadTrend primarily because it trades using 4-hr bars. The strategy uses no indicators of any kind. The signals are created based purely on Swing High and Swing Lows. All signals are generated from a single time frame, a 4-hour chart.
The strategy trades CL (crude oil futures) from 2 AM to 2 PM Eastern time Monday - Friday. It trades two contracts, with one coming off at a fixed target of 64 ticks and the second is a dynamic runner. The stop is a fixed 16 ticks. There is no fixed daily loss limit or fixed daily profit target.
Entries are triggered by Buy Stop's and Sell Stop's. The first target exit is a limit order. The second target exit is a market order and is triggered dynamically.
Over a one-year period, the system has averaged about 2 trades a day. The win rate has averaged approximately 33%, with a win/loss dollar ratio of 3.0:1.
Here is the overview from the backtest for a 1-year period:
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Here is the equity curve from the backtest:
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The largest drawdown period in the last year occurred on August 12 2009:
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I wrote the strategy in about 30 minutes and spent about two hours backtesting it. The thread is a journal to help me track the performance, and to generate a discussion and interest about automated strategies in general with the ultimate goal of helping fellow trades build better strategies. The purpose of the thread is not to clone this exact strategy, and as such, I will not be releasing the code.