- ago
I created a nice strategy with the CNN Fear and Greed Index, and I would like to share it with you:
"Buy only once per year when everyone in the market is fearful (i.e., the CNN Fear & Greed Index is at extreme fear). Sell at the end of the year and restart the strategy in the next year."

What do you think about that? I would like to start trading with this strategy beginning 2025.






0
313
4 Replies

Reply

Bookmark

Sort
Glitch8
 ( 10.83% )
- ago
#1
That's the way, buy when there is blood on the street.
1
- ago
#2
If I count correctly I see 15 trades (3 per year and 5 years)
And more than 5 parameters.

Your backtest runs until today, there are no Insample/Out-of-Sample intervals.

For this thing is heavily over-optimized -or- pure luck.

2
- ago
#3
You are right . Unfortunately the CNN indicator works only for US markets and is not old enough. The only thing I can say is that I tested it with different US markets for 10 years:

APRs:
Nasdaq 100: +61.64%
S&P 100: +58,72%
Russell 2000: +14,22%

I would use it only where are high volume stocks.
0
- ago
#4
@Glitch: It would be very cool if you could add the crypto fear and greed index too.
They have an API:
https://alternative.me/crypto/fear-and-greed-index/

You can search for "Fear and Greed Index API" on this page.
0

Reply

Bookmark

Sort