Profit With High Relative Strength Mutual Funds
The article by Gerald Gardner in this issue, “Profit With High Relative Strength Mutual Funds”, has demonstrated how the timing method applied to the correlated mutual funds can maximize profit and reduce drawdown.
Using Strategy Builder, you can create the strategy for the described method.
Entry Long: var
sma_hotfx:=0;
sma_fhytx:=0;
vol_fhytx:=0;
diffbuy:=0;
ext_fhytx:=0;
end_var
if HISTORYSIZE > 30 then begin
sma_hotfx := SMA(C,10);
sma_fhytx := SMA(External("close","FHYTX"),20);
vol_fhytx:= StdDev(sma_fhytx,20);
if (not IsInPosition()) then begin
ext_fhytx := External("close","FHYTX");
diffbuy:=(ext_fhytx - sma_fhytx)/(2*vol_fhytx);
if (diffbuy > 1) then begin
if (C > sma_hotfx) then return true;
end;
end;
end;
return false;
Exit Long:
var
sma_hotfx:=0;
sma_fhytx:=0;
vol_hotfx:=0;
vol_fhytx:=0;
diffsell:=0;
c_fhytx:=0;
end_var
if HISTORYSIZE > 30 then begin
sma_hotfx := SMA(C,10 );
sma_fhytx := SMA(External("close","FHYTX"),20 );
vol_hotfx:= StdDev(sma_hotfx,10);
vol_fhytx:= StdDev(sma_fhytx,20);
if (IsInPosition) then begin
c_fhytx := External("close","FHYTX");
diffsell:=(c_fhytx - sma_fhytx)/(2*vol_fhytx);
if (diffsell < -1) then begin
if (vol_hotfx = 0) then diffsell := C - sma_hotfx;
else diffsell := C - sma_hotfx/(2*vol_hotfx);
if (diffsell < -1) then return true;
end;
end;
end;
return false;
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Download to import into Tradecision. 
How to use this indicator in Tradecision:
- Click Download.
- Save this indicator in a safe location on your hard drive.
- Open Tradecision and in the Tools menu click Indicator Builder.
- In the Indicator Builder dialog, click Import, locate the saved file and then click OK.
The indicator will be added to the Custom Indicators list.
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