Premium Market Analysis, Trader Education, Software and Trading Strategies

Price Action Strategies, Trading Strategies

Report of the Forward Performance of Machine Designed Trading Systems

This is a report of the forward performance of machine designed trading strategies for SPY, QQQ and DIA using Price Action Lab. We call “forward performance” the results obtained for the systems after the end of the out-of-sample period used during the development phase. These results are reproducible and not the outcome of some random process, like a genetic programming algorithm, or some other similar curve-fitting tool.

Price Action Lab™ (PAL) does not use genetic programming, neural networks, permutations or any other methods employed by some other programs that produce random and curve-fitted systems. Price Action Lab is based on a proprietary algorithm that produces the same output each time it encounters the same conditions and this determinism is in compliance with the standards of scientific testing and analysis.

This is a table of the performance summary. Only closed trades are reported:

System Start date Trades Win Rate% Gain
SPY 04/05/2012 10 70 12.89 points
QQQ 04/05/2012 10 70 10.05 points
DIA 04/05/2012 20 55 15.11 points

The code for these systems is for sale. Full system code is available for Tradestation and Amibroker (Charts created with AmiBroker – advanced charting and technical analysis software. http://www.amibroker.com/”) and condition code for several other platforms.

Before ordering any of our products or services please read our Disclaimer.

Edit: Initially a GBPUSD system was included in this study but since it was started last month and had only one trade it was then removed.