Gain - Loss Filter

This strategy works only using the closing price. When the closing price is falling down during the n days %a percent a buy signal is generated. If the price goes up and reaches %b gain then a sell signal is generated. If the price falls further %p percent a stop loss signal is generated.

The strategy is a simple technical analysis trading strategy that uses the closing price of a stock to generate buy, sell, and stop-loss signals based on specific percentage movements in the price.

The strategy involves monitoring the closing price of the stock over a specified period of time (n days) and generating a buy signal when the price falls by a certain percentage (%a). Once the buy signal is generated, the trader would hold the position until the price reaches a specified percentage gain (%b), at which point a sell signal would be generated.

In addition to the sell signal, a stop-loss signal is generated if the price falls further by a specified percentage (%p), indicating that the trader should exit the position to minimize potential losses.

Formula

IF C(t)< (100-a)*MAX(C(t)..C(t-n)/100
THEN GO LONG
IF C(t)> (100+b)*LastBuy/100
THEN GO SHORT
ELSE IF C(t)<(100-p)*LastBuy/100
THEN GO SHORT

Stock Research Links

IBOC SWK ASH JNJ TNC FAF CHRW PBCT JKHY GWW DTE

< Back to Stock Predictor Site

Order >