Lunar-Phase Signals for Long-Only and Long-Short Trading
Summary
This script turns calculated lunar phases into trading signals. It estimates the lunar day from a reference new moon and a stated cycle length, then identifies new moon and full moon transitions. A full moon transition triggers a long entry; a new moon transition exits that long position in the research mode. An alternate mode reverses direction at each transition, entering short at new moon and long at full moon.
The strategy sets percentage-based stop-loss and take-profit levels at entry, with separate settings for each direction, and provides chart markings for phases and signals. The document supplies implementation details but no backtest results, market specification, or evidence that lunar timing predicts returns. The script excerpt is truncated near its plotting section, so the full behavior cannot be assessed. Its usefulness as a trading method therefore remains a hypothesis requiring independent testing, including realistic costs and out-of-sample evaluation.
Key ideas
- The script estimates lunar day from elapsed time since a reference new moon.
- It enters long at the start of a full moon phase and uses a new moon transition as an exit or short signal.
- A full-cycle mode switches between long and short positions at those phase transitions.
- Percentage stop-loss and take-profit levels are set when each signal occurs.
- No performance results or validation of lunar timing as a market signal are provided.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.