By Robert Buran
The second system that is not posted daily is my weekly system which is longer term and holds trades typically 2 to 4 weeks. This system takes much fewer trades. One reason I like it is that it lends itself well to running in full automation with TradeStation 9.1.
I traded this system with real money for about 7 months in 2012 and liked it. It is not really a new system at all. It is actually my oldest system which has been adapted to work with weekly bar charts. It uses a 75 % retracement stop that I discuss in my manuals.
If anybody wishes to attempt to replicate these results you should understand that I ran the tests on Christmas day 2012 and went back a little over 13 months. I did not cherry pick these markets. These markets were selected BEFORE I started trading in real time and were based on positive performance prior to 2012.
WEEKLY SYSTEM November 2011 to 12/24/12 and tested on TradeStation 9.1 These results show net profit (loss) and number of trades during the 13 month period.
AAPL – APC
AV +6247 10T
ANR -1028 8T
ADSK +3456 11T
AIG +15498 10T
AMD +2357 9T
AAPL +12214 14T
AMGN -5280 15T
APC -6,071 10T
APH – DV
ARG +2073 10T
CI +1730 9T
CLF -806 9T
CMCA +12127 +10
DELL +6359 9T
DHI + 8270 11T
DNR -1280
DV +13900 9T
APH +13556 11T
ESRX – GNW
ESRX +8167 10T
EXPE +28343 12T
F +7518 11T
FDO +2732 11T
FFIV -3048 10T
FITB +609 10T
FLS +6199 11T
GCT +9751 11T
GNW +1309 11T
GOOG – JCP
GOOG +8432 9T
HAR +11738 11T
HBAM +4247 9T
HOG +10792 11T
HP +4358 6T
IRM +9203 9T
JBL +3127 10T
JCI +7330 6T
JCP +11254 13T
JDSU – MRO
MRO +10025 8T
MOS -2736 10T
LSI +13038 8T
LEN +12219 10T
KSS -11244 13T
KMX +15079 10T
JEC -3767 10T
JDSU +7306 11T
PCLN – SYK
PCLN +13852 11T
PHM +24515 10T
PLL +3705 9T
RHT 13776 8T
The Chart below shows $13,776 profits in RHT during the testing time period:
ROST 7281 8T
RSG 3199 12T
SBUX 4508 9T
SHLD 18855 13T
SYK -254 15T
MU – OXY
MU +5577 11T
MUR +11360 11T
NBR +4336 11T
NFLX +32663 7T
NKE +3664 9T
NOV – 5932 10T
NSC +3111 8T
NWL 9370 10T
OXY -7412 7T
THC – ZION
ZAGG -78 13T
TIE -7742 8T
ZION +12468 9T
WYNN -1950 8T
WY +9509 8T
WMB +3051 10T
UNH +5386 9T
TXT +6353 9T
THC -78 13T
Final Totals for WEEKLY SYSTEM
Profits before slippage and commissions = $427, 395
Total number of trades = 697
Estimated slippage and commissions = $69,700
Profits after slippage and commissions = $357,695
Annual % return on one million dollars = 36%
I was nevertheless gratified to see the good performance with the weekly system. Obviously this algorithm performs better in the low volatility environment by taking fewer trades and holding them longer.
As mentioned previously The Weekly System also lends itself well to fully automated trading using TradeStation 9.5 or Multi Charts.
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I am a trading system pro and have been trading markets and have been involved with trading system development and the programming of trading system software for 25 years. “Today Stock Market” is my opportunity to share with you some of my trading experience while discussing stock market news and giving my daily stock market update.