15 lines
585 B
Markdown
15 lines
585 B
Markdown
# R3
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This strategy was taken from chapter 4 of [*High Probability ETF Trading*](https://moshferatu.dev/moshferatu/high-probability-etf-trading) (2009) by Larry Connors.
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## Rules
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**Long**
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1. The ETF (e.g., SPY) is above its 200-day moving average.
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2. The 2-period RSI drops 3 days in a row and the first day's drop is < 60.
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3. If the 2-period RSI closes < 10, enter a long trade.
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4. **(Optional Aggressive Version)** Enter a second long if price closes lower than the initial entry price at any point during the first trade.
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5. Exit the trade when the 2-period RSI closes > 70.
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