Official Exit on T2106 Trade - Some Stats

I just wanted to give you the official update on the SP-500 swing long trade. McClellan (T2106) closed above the zero reading. This was the exit I was looking for. The exit is Mondays open. 40+ SP points as of todays close.

Let’s look at how backtesting can give you an edge.

• gave me an idea of historical after entry drawdown
• gave me an idea of the average holding period
• gave me an idea of the types of return to expect

Let’s look at the graphic I posted last week with the original trade recommendation:

Let’s see what this trade looks like:

+2.83% Return

6 Bars Held

MAE = -0.22

Kind of an average trade eh? THAT is the power of backtesting in a crystal clear example. A historical edge was demonstrated with a clear and concise picture of past trades. This time it worked out in my favor. I hope it did for you too. Let me know how you played the trade.

Have a Great Night!

Dave Johnson