RSI of Ultimate Oscillator [SHORT Selling] Strategy by eemani123
By eemani123
Performance Metrics
- Author: eemani123
- Symbol: AMEX:SPY
- Timeframe: 1 hour
- Net P&L: +3,250.10 USD (+32.50%)
- Win Rate: 77.5%
- Profit Factor: 1.842
- Max Drawdown: 729.19 USD (5.42%)
- Total Trades: 111
- Sharpe Ratio: 0.186
Description
This is SHORT selling strategy with Ultimate Oscillator. Instead of drectly using the UO oscillator , I have used RSI on UO (as I did in my previous strategies )Ultimator Oscillator settings are 5, 10 and 15RSI of UO setting is 5Short Sell==========I have used moving averages from WilliamAlligator indicator --- settings are 10(Lips), 20(teeth) and 50 (Jaw)when Lips , Teeth and Jaw are aligned to downtrend (that means Lips < Teeth < Jaw )Look for RSIofUO dropping below 60 ( setting parameter is Sell Line )Partial Exit==========When RSIofUO crossing up Oversold line i.e 30Cover Short / Exit=================When RSIofUO crosisng above overbought line i.e 70StopLoss========StopLoss defaulted to 3 % , Though it is mentioned in settings , it has not been not used to calcuate and StopLoss Exit... Reason is, when RSIofUO already crossed 60 line (for SHORTING) , then it would take more efforts go up beynd 60. There is saying price takes stairs to climb up but it takes elevator to go down. I have not purely depend on this to exit stop loss, however noticed the trades in this stratgey did not get out with loss higher than when RSIofUO reaching 70 level.Note======Williams Alligator is not drawn from the script. It is manually added to chart for illustration purpose. Please add it when you are using this strategy , whch woould give an idea how the strategy is taking Short Trades.This is tested on Hourly chart for SPYBar color changes to purple when the strategy is in SHORT tradeWarning========For the eductional purposes only