Trend Trader Pro: Company's Financial Health Model (FA)
Description:
This robot is specifically designed for traders seeking to execute professional trend-following strategies grounded in fundamental analysis. The algorithm relies on a sophisticated model to assess the financial health of a company, a methodology often employed by macro hedge funds and refined by our team of quants.
Each day, our computational power scans the majority of stocks traded on major US stock exchanges, collecting information on key indicators such as debt-to-assets ratio, interest coverage, current ratio, and more. All indicators are then aggregated and ranked using a proprietary algorithm to determine the financial health of each company.
Once the stocks are ranked, the robot selects those with the highest score for initiating long positions and those with the weakest score for opening short positions. All trades are executed using market orders within 1-2 hours after the market opens, ensuring optimal liquidity and favorable entry prices. Following the opening of a trade, the robot employs the following types of stop-loss orders:
- For long positions, a fixed stop-loss is set at 20% of the opening price of the trade, coupled with an internal stop-loss that closes the trade one month after its initiation.
- For short positions, a trailing stop-loss of 20% of the opening price of the trade is implemented, which adjusts upwards every time the stock price increases by 20%. Additionally, an internal stop-loss is in place, closing the trade one month after its initiation.
This meticulous approach not only ensures efficient risk management but also enhances the precision of entry and exit points in the trading positions.
All orders placed by the robot are conveniently accessible on the "Pending Orders" tab. Here, users can access crucial information, including the number of shares in the order, the order placement time, the order type (limit, market, or stop market), and the limit price level. This unique tool enables our users to anticipate all future actions of the robot and effectively utilize its signals for both monitoring and real trading.
The trading results of the robot are displayed without the use of margin. For comprehensive trading statistics and an equity chart, click on the "Show All Stats" button on the robot page. In the "Open Trades" tab, users can observe in real-time how the AI Robot selects equities, enters, and exits in paper trades. In the "Closed Trades" tab, users can review all previous trades executed by the AI Robot.
Disclaimer. The presented paper traded results (annualized returns, % wins/loss, and other statistics) are achieved by the application of the backtested and forward tested models. The past backtested and forward tested performance should not be taken as an indication or guarantee of future performance, and no representation or warranty, expressed or implied is made regarding future performance. Forward testing started on 12.19.2023.
Summary (32 days)
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