Friday, July 16, 2010

QE Big Time Swing System Posts 1st Half Gain

I’ve updated the Quantifiable Edges Big Time Swing System overview page with results through June 30. I don’t update it that often since the system only trades about once per month on average. I’m please to say that while the SPX was down 7.57% for the 1st half of the year, the QE Big Time Swing System managed to post a 0.93% gain.

This is well below long-term norms. So while it may seem a bit disappointing from that perspective, the fact that it has weathered such historically abnormal action the last six months is inspiring. January saw the market experience an abnormally sharp and persistent selloff. This was followed by one of the most persistent upmoves ever from Feb – April. We then had to deal with a one of a kind "flash crash" and then more extreme action culminating in a wicked selloff at the end of June that triggered numerous historical extremes.

With all that to think about, buy/sell decisions were easy for QE Big Time Swing traders. SPY had 7 trades trigger. Using the system, entries and exits are clearly defined and there are no extraneous variables to worry about. Of the 7 SPY trades, 4 were winners and 3 were losers for a net of 0.93% including commissions, dividends, and interest on cash (assumed at 0.16% annual this year). Again, not great, but not bad considering all the market dealt us the last 6 months.

Of course these results assume traders used SPY and took the “standard” entries and exits as published in the manual and sent to purchasers via email (free for 2010). One of the biggest advantages with the QE Big Time Swing System is that it is all open-coded and comes complete with a substantial amount of background historical research. Many system owners have either incorporated ideas for “tweaking” from the manual or used their own ideas to customize the system. Anyone doing this would have experienced different results.

For more information and to see the updated overview sheet, click here.

If you’d like additional information about the system, or have questions, you may email BigTimeSwing @ Quantifiable (no spaces).