The Chartist – Large Cap Momentum Strategy

The Chartist – Large Cap Momentum Strategy

Description of Large Cap Momentum Strategy

Momentum is a logical, time tested approach supported by vast amounts of academic and industry research gathered over many decades. Stocks that have done well recently tend to continue doing well in the following months and even years. This strategy specifically targets Large Cap stocks that are outperforming their peers, although it can be used on any universe of stocks. The strategy trades just once a month.

The strategy allows users to generate buy and sell signals, run backtests and adjust a myriad of parameter settings without needing to understand coding. Other filters include price, volume, turnover, market regime and two position sizing modes. The code is completely viewable and editable by the user.

This strategy attempts to buy a concentrated set of strongly trending Large Cap stocks that are outperforming their peers. It will hold a position until its trend strength deteriorates or is outpaced by a stronger stock. A unique dual filtering mechanism will ensure stocks are only bought when market conditions are favourable. The strategy will automatically revert to a cash position when market conditions are unfavourable. The strategy trades just once a month.

All parameters are adjustable to enhance risk adjusted performance or trade frequency. The strategy also enables the user to test on specific universes including historical constituents for testing without survivorship bias.

The Large Cap Strategy uses a concentrated portfolio and has minimal entry parameters and has not been optimised. Testing was conducted on daily bars across some 1,000 individual symbols over a 20-year period. These results are shown below for the Australian and US markets.

About The Chartist

The chartist is a unique investment advice service for those who don’t have the time or skills to succeed in today’s stock market environment.

More courses from the same author: The Chartist

When will I receive my course?

You will receive a link to download your course immediately or within 1 to 21 days. It depends on the product you buy, so please read the short description of the product carefully before making a purchase.

How is my course delivered?

We share courses through Google Drive, so once your order is complete, you'll receive an invitation to view the course in your email.

To avoid any delay in delivery, please provide a Google mail and enter your email address correctly in the Checkout Page.

In case you submit a wrong email address, please contact us to resend the course to the correct email.

How do I check status of my order?

Please log in to TradingAZ account then go to Order Page. You will find all your orders includes number, date, status and total price.

If the status is Processing: Your course is being uploaded. Please be patient and wait for us to complete your order. If your order has multiple courses and one of them has not been updated with the download link, the status of the order is also Processing.

If the status is Completed: Your course is ready for immediate download. Click "VIEW" to view details and download the course.

Where can I find my course?

Once your order is complete, a link to download the course will automatically be sent to your email.

You can also get the download link by logging into your TradingAZ account then going to Downloads Page.