Sentiment trading : strategy 2
Strategy 2 is an active swing trading strategy that aims to profit from short term price swings. The Graham Mood Index plays an indirect role in the decision making process.
Below you can find the results of a trading experiment, starting with a cash balance of 10,000 USD. Only US stocks are traded. There are no exact trading rules, instead I use a set of principles.
You can find the results below. Results don't take into account trading costs. Unfortunately ticker symbols for the first 3 months were lost on the website server. The result was + 10 % in 3 months time , from mid November 2024 to mid February 2025.
If you prefer a calmer strategy , take a look at Strategy 1 : 'buy 30 % upside potential stocks when sentiment index is low
Date | Ticker | # shares | Buy Price | MAX | Sell Price | # days | % Return | Return on Account | Account Balance | |
---|---|---|---|---|---|---|---|---|---|---|
11 Nov | 10,000 USD | |||||||||
15 Nov | 1300 | 5.26 | 5.47 | 5.20 | 2 | - 1.14 % | - 78 | 9,922 | 1 | |
19 Nov | 400 | 12.96 | 13.49 | 13.41 | 3 | + 3.47 % | + 180 | 10,192 | 3 | |
20 Nov | 1000 | 4.94 | 5.21 | 5.03 | 1 | +1.82 % | + 90 | 10,012 | 2 | |
22 Nov | 400 | 10.34 | 10.72 | 10.22 | 3 | - 1.17 % | - 48 | 10,144 | 4 | |
27 Nov | 400 | 10.46 | 10.52 | 10.18 | 3 | - 2.68 % | - 112 | 10,032 | 5 | |
27 Nov | 1000 | 1.37 | 1.38 | 1.34 | 3 | - 2.21 % | - 30 | 10,002 | 6 | |
4 Dec | 500 | 8.38 | 8.74 | 8.33 | 1 | - 0.60 % | - 25 | 9,977 | 7 | |
5 Dec | 400 | 5.09 | 5.09 | 5.03 | 1 | - 1.18 % | - 24 | 9.923 | 8 | |
5 Dec | 700 | 5.87 | 5.90 | 5.81 | 1 | -1.02 % | - 42 | 9.881 | 9 | |
6 Dec | 500 | 10.28 | 11.68 | 11.50 | 1 | + 11.86 % | + 610 | 10.491 | 10 | |
10 Dec | 300 | 5.88 | 6.47 | 6.06 | 2 | + 3.06 % | + 54 | 10.545 | 11 | |
12 Dec | 1500 | 2.85 | 2.89 | 2.81 | 3 | - 1.41 % | - 60 | 10.461 | 13 | |
16 Dec | 2000 | 1.21 | 1.25 | 1.21 | 2 | 0 % | + 0 | 10.461 | 14 | |
16 Dec | 200 | 12.76 | 12.78 | 12.64 | 0 | - 0 95 % | - 24 | 10.521 | 12 | |
17 Dec | 600 | 2.77 | 2.87 | 2.78 | 1 | + 0.36 % | + 6 | 10.467 | 15 | |
20 Dec | 2000 | 1.23 | 1.56 | 1.39 | 6 | + 13 % | + 320 | 10.787 | 16 | |
3 Jan | 500 | 10.55 | 10.43 | 10.55 | 0 | - 1.14 % | - 60 | 10.727 | 17 | |
6 Jan | 300 | 12.26 | 12.26 | 12.16 | 1 | - 0.82 % | - 30 | 10.697 | 18 | |
6 Jan | 500 | 7.07 | 7.65 | 7.28 | 5 | + 2.97 % | + 105 | 10.820 | 19 | |
21 Jan | 150 | 32.63 | 33.30 | 32.63 | 6 | 0 % | + 0 | 10.820 | 20 | |
21 Jan | 400 | 9.27 | 9.44 | 9.32 | 6 | + 0.53 % | + 20 | 10.840 | 21 | |
27 Jan | 350 | 6.96 | 7.82 | 7.67 | 5 | + 10.20 % | + 248 | 11.088 | 22 | |
11 Feb | 100 | 17.49 | 17.88 | 17.12 | 4 | - 2.12 % | - 37 | 11.051 | 23 | |
11 Feb | 1000 | 3.22 | 3.34 | 3.23 | 2 | 0 % | + 0 | 11.027 | 25 | |
12 Feb | 200 | 9.33 | 9.64 | 9.21 | 6 | - 1.29 % | - 24 | 11.027 | 24 | |
26 Feb | 200 | 10.24 | 10.30 | 10.24 | 2 | 0 % | +0 | 11.027 | 26 | |
22 April | ALK | 60 | 44.90 | 49.15 | 46.93 | 1 | + 4.52 % | + 121 | 11,148 | 27 |
24 April | VTRS | 400 | 8.08 | |||||||
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