QUANT SYSTEM PERFORMANCE REVIEW - 07.09.21

From the desk of Capt.D.Ganesh Raja DATE: 07.09.21

Dear Friends,

This weekend I was not able to post the blog because we were with a close family friend who has been diagnosed with cancer. The attending Doctors are excellent and my friend is in safe hands. Above all there are matters which defies logic or explanation, but just gives a glimpse of the grace of almighty which is best left to experience.

I will not delve into philosophy since that is not what this blog is about.

Now it is time to look into the performance of the Quant system till date:

1. 90 trade signal have been given by the system since 04.07.20, over a period of 14 months, out of which I was away for 4 months due to marine assignments and personal commitments. Mine is a “plug and play” model so it doesn’t bother me for the period of absence.

2. As of yesterday’s closing, the returns till date is 55.13%, which translates into 43.97% returns annually.

3. There have been 48 profitable trades and 42 losing trades, which translates into 55.13% accuracy.

4. Stop loss have been hit 20 times, which means due to some news or event, system signal failed to go in the direction indicated. I have said before that the system does not take into account news and events.

5. Highest profit on profitable trade was 19.25% (This is not a mid or small cap).

6. Returns since 07.03.21, when I resumed my blog after my marine assignment is 29.36%.

We might propose many theories and try justifying our trade systems but your trade sheet is the best proof about the effectiveness of the system. When market asks you to trade it is always in the present.

Since a strong trend in progress and the existing stock recommendations as per the system are still valid, I have not been giving any new recommendations. Some people told me that I should give more recommendations, but to update and track it is quite a task, which my present commitments doesn’t permit. Moreover, my main purpose is to demonstrate the system readings, which need not give frequent trades just for the sake of it.

For now, in the daily charts, we might see consolidation or a correction but in the weekly charts there is no sign of a trend reversal, so I would refrain from liquidating long positions. Some of the people I have been speaking to are worried about the sharp rise in markets. When markets fall, we are worried, when it stagnates, we are worried and when it rises also, we are worried. It has more to do with human psychology, I guess.

I will try to update again soon, so for now the existing trade recommendations still hold.