Stock Predictor trading strategy

N Day Filter

N Day Filter uses only the daily low prices. It compares today’s low with the lows of the last m days to decide whether support is holding.

Strategy group

Price, volatility and time filters

Based on

Daily lows

Typical parameters

m = number of days

A buy signal is generated when today’s low is higher than the lowest low of the last m days. A sell signal is generated when today’s low is lower than the highest low of that period.

Trading signals

• Buy when today’s low is at or above the minimum of the lows of the last m days.
• Sell when today’s low is below the maximum of the lows of the last m days.

Strategy rules

IF L(t) >= MIN{ L(t ... t-m) }
   THEN GO LONG
ELSE IF L(t) < MAX{ L(t ... t-m) }
   THEN GO SHORT

Where L(t) is today’s low and L(t ... t-m) are the daily lows of the last m days.