{"id":40890454,"date":"2025-03-17T11:10:47","date_gmt":"2025-03-17T05:40:47","guid":{"rendered":"https:\/\/stockviz.biz\/index.php\/?p=40890454"},"modified":"2025-03-17T11:10:49","modified_gmt":"2025-03-17T05:40:49","slug":"buy-highs-sell-lows","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2025\/03\/17\/buy-highs-sell-lows\/","title":{"rendered":"Buy Highs\/Sell Lows"},"content":{"rendered":"\n<p>In equities, buying stocks that hit their All Time Highs is a decent <a href=\"https:\/\/stockviz.biz\/theme-eq\/BB3B520D-E257-4881-8340-A4F46F44DC4C\">strategy<\/a>. When combined with a trailing stop loss, it beats the NIFTY 50 index with a Sharpe of around 1.8.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/web-theme-perf-charts\/BB3B520D-E257-4881-8340-A4F46F44DC4C.performance.brk.png\" alt=\"\" \/><\/figure>\n\n\n\n<p>Can a similar long\/short strategy work in crypto? <\/p>\n\n\n\n<p>Since everything happens faster in crypto, we need to relax the &#8220;All-Time&#8221; constraint and consider shorter time-frames. For example, here&#8217;s the 200-day Highs stats, for returns of subsequent 1\/5\/10 &amp; 20 days of L1 and L2 coins:<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/github.com\/stockviz\/blog\/blob\/master\/crypto\/binance\/highs-lows\/200-day.highs.stats.png?raw=true\" alt=\"\" \/><\/figure>\n\n\n\n<p>And here&#8217;s the same for 20-day Highs stats:<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/github.com\/stockviz\/blog\/blob\/master\/crypto\/binance\/highs-lows\/20-day.highs.stats.png?raw=true\" alt=\"\" \/><\/figure>\n\n\n\n<p>A similar thing plays out with 200- and 20-day lows.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/github.com\/stockviz\/blog\/blob\/master\/crypto\/binance\/highs-lows\/200-day.lows.stats.png?raw=true\" alt=\"\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/github.com\/stockviz\/blog\/blob\/master\/crypto\/binance\/highs-lows\/20-day.lows.stats.png?raw=true\" alt=\"\" \/><\/figure>\n\n\n\n<p>Theoretically, you can go long coins making 20\/50-day highs and go short coins making 20\/50-day lows. Apply a reasonable trailing stop loss and you might have a decent strategy.<\/p>\n\n\n\n<p>Code and charts on <a href=\"https:\/\/github.com\/stockviz\/blog\/tree\/master\/crypto\/binance\/highs-lows\">github<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In equities, buying stocks that hit their All Time Highs is a decent strategy. When combined with a trailing stop loss, it beats the NIFTY 50 index with a Sharpe of around 1.8. Can a similar long\/short strategy work in crypto? Since everything happens faster in crypto, we need to relax the &#8220;All-Time&#8221; constraint and &hellip; <\/p>\n","protected":false},"author":2,"featured_media":2106273,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4053],"tags":[2761],"class_list":["post-40890454","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto","tag-quant","entry"],"_links":{"self":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/40890454","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/comments?post=40890454"}],"version-history":[{"count":0,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/40890454\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/media\/2106273"}],"wp:attachment":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/media?parent=40890454"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/categories?post=40890454"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/tags?post=40890454"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}