This model is a copy of the Crossover and Detrend model that was previously applied to QQQQ.

The strategy buys when the MESA8 Detrend indicator is below Minus Sigma and the slope of the Crossover Momentum indicator is positive.  Entry on the short side occurs when the Detrend indicator is greater than 1 and the Crossover Momentum slope is negative.

We took advantage of the NeuroShell Trader Professional’s built-in genetic algorithm optimizer to find the best parameters for the MESA8 indicators during the period June 2, 2003 to May 31, 2005 (the white line on the Trading Strategy).  The optimized model produced a return on trades of 54.4% compared to buy and hold of 22.7%.  The completed model was applied to out-of-sample data from June 1, 2005 to April 10, 2006.  This time the model produced a return of 9.5% compared to 8.1% buy and hold.