Skip to content
All hypotheses

Hypotheses

XLF confirmed one-month exhaustion reversal

Adapt QuantConnect's 22-session stock-return reversal into a single-instrument test on XLF.USEQ daily bars. Trade only after an extreme one-month move shows a one-session reversal. Use whole shares, at most 1x…

Hypothesis

Adapt QuantConnect's 22-session stock-return reversal into a single-instrument test on XLF.USEQ daily bars. Trade only after an extreme one-month move shows a one-session reversal. Use whole shares, at most 1x leverage, a 30% equity exposure cap, and a position sized to risk at most 1% of equity at the initial stop.

Analysis

Short-Term Reversal Strategy in Stocks

Backtest and paper results are hypothetical. Trading involves risk of loss.