23 lines
914 B
Markdown
23 lines
914 B
Markdown
# %B
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This strategy was taken from chapter 5 of [*High Probability ETF Trading*](https://moshferatu.dev/moshferatu/high-probability-etf-trading) (2009) by Larry Connors.
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It is based on the [%B indicator](https://moshferatu.dev/moshferatu/ninjatrader/src/branch/main/indicators/%25b).
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## Rules
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**Long**
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1. The ETF (e.g., SPY) must be above its 200-day moving average.
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2. If the %B closes < 0.2 for 3 days in a row, enter a long trade.
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3. **(Optional Aggressive Version)** If the %B closes < 0.2 again during the initial trade, enter a second long trade.
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4. Exit the trade when the %B closes > 0.8.
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**Short**
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1. The ETF (e.g., SPY) must be below its 200-day moving average.
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2. If the %B closes > 0.8 for 3 days in a row, enter a short trade.
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3. **(Optional Aggressive Version)** If the %B closes > 0.8 again during the initial trade, enter a second short trade.
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4. Exit the trade when the %B closes < 0.2.
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