5 EMA perfect setup #stockmarket — backtested on Indian market data | FakeTrades
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5 EMA perfect setup #stockmarket

Stock Trader Vaishali · watch on YouTube ↗
Analysed 01 Aug 2026, 03:07 PM IST
★½☆☆☆ 1.5 / 5

Why 1.5/5? (stars grade the EDGE — per-trade expectancy, consistency, drawdown — not the headline return)

  • Roughly ZERO per-trade edge (+0.00R) — real costs eat whatever is there
  • Only 30% of trades win — the rare big winners must keep showing up
  • 6 of 9 tested years were negative (2018, 2019, 2022, 2024) — the edge is regime-dependent
  • Max drawdown -78% on the ₹2L portfolio — the compounded return came with deep pain along the way

Verdict

Auto-backtested. AI-decoded: 5-period EMA trend-following strategy: buy when price breaks above EMA (call side), sell when price breaks below EMA (put side). Ran on 159 large/mid-caps, real costs. 38,199 trades, win 30%, payoff 2.36, expectancy +0.00R/trade (avg -0.21%/trade).

This is essentially breakeven. Regime-dependent — positive in only 33% of years.

Mechanically decoded from the transcript and scored from the metrics. Flagged for human review; a hand-vetted verdict can override it.

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🔴 Live forward test (no hindsight — only trades the rules fired AFTER we published this verdict)

Tracking since 2026-07-09 — no qualifying signals have fired yet. The engine re-checks every night on fresh data; results appear here the day the rules trigger.

Is it profitable? (green above the line = made money, red below = lost it)

₹2,00,000 portfolio (max 5 positions, across the stock universe — real delivery costs)

Return-74.2%
CAGR-15.7%
Max drawdown-77.5%
Trades1894 · 385 won
₹200,000 → ₹51,560  ·  2018-07-09 → 2026-06-08
201820192020202120222023202420252026
-22%-43%+6%+61%-32%-18%-3%-33%-7%

Simulated on the 159 large/mid-cap universe. Capital-constrained, daily mark-to-market.

Year by year (every trade the rules fired, across the tested stocks)

YearTradesWin %ExpectancyAvg return / trade
2018222426% -0.05R -0.59%
2019470328% -0.04R -0.51%
2020466335% +0.10R +0.54%
2021475932% +0.07R +0.18%
2022479429% -0.03R -0.46%
2023488132% +0.07R +0.04%
2024492930% -0.01R -0.30%
2025523428% -0.06R -0.57%
2026201226% -0.09R -0.60%

Where this strategy made & lost money (the full stock-by-stock breakdown — 158 stocks, incl. 2026)

#StockTradesWin%Avg/tradeBestTotal2026
1 ████████ 23528% +2.8% +111% +652% +32%
2 ████████ 23530% +0.8% +66% +184% +32%
3 ████████ 23929% +0.2% +59% +48% +29%
4 ████████ 24529% +1.2% +81% +300% +28%
5 ████████ 21338% +2.5% +171% +539% +26%
6 ████████ 24726% +1.1% +90% +278% +21%
7 ████████ 21931% +0.4% +46% +89% +20%
8 KEI free peek 25033% +0.3% +33% +64% +20%
9 ████████ 22729% -0.0% +19% -9% +20%
10 ████████ 8128% -0.8% +14% -68% +18%
11 ████████ 26830% -0.3% +29% -68% +17%
12 ████████ 21338% +0.7% +37% +142% +15%
13 ████████ 23829% +0.4% +44% +89% +15%
14 ████████ 25828% -0.1% +45% -37% +15%
15 ████████ 24626% -0.1% +24% -26% +14%
16 ████████ 26126% -0.5% +23% -122% +14%
17 ████████ 24127% +0.1% +27% +26% +11%
18 ████████ 23426% -0.1% +26% -19% +11%
19 ████████ 21530% +0.1% +42% +24% +10%
20 ████████ 27424% -0.9% +17% -246% +10%
21 ████████ 25525% -0.6% +17% -144% -52%
22 ████████ 25030% -0.2% +17% -58% -45%
23 ████████ 23731% -0.1% +40% -15% -36%
24 ████████ 26624% -0.5% +19% -131% -31%
25 ████████ 27224% -0.5% +31% -147% -30%
26 ████████ 25127% -0.5% +17% -133% -29%
27 ████████ 23829% -0.2% +30% -41% -29%
28 ████████ 22935% +0.7% +31% +156% -28%
29 ████████ 24924% -0.5% +29% -125% -27%
30 ████████ 25327% -0.4% +39% -89% -27%
You can see the numbers — see the names. Unlock every stock in this breakdown and download it as Excel. The worst stock in this table returned -246% under these exact rules — one wrong pick costs many times the unlock.

Educational backtest output only — not investment advice or a recommendation to buy/sell any security. AI-generated from stored historical data; not 100% accurate. Past performance is not indicative of future results.

On the index (same rules applied to NIFTY & BANKNIFTY)

IndexTradesWin%Expectancy (R/trade)Avg return/trade
NIFTY30134% -0.02R -0.33%
BANKNIFTY32228% -0.04R -0.37%
Full transcript (192 words)
5 एम इंडिकेटर का परफेक्ट सेटअप क्या है चलिए जानते हैं उसके लिए आपको इंडिकेटर्स में जाना है और यहां पर आपको सर्च करना है ईए जो फर्स्ट वाला ऑप्शन रहेगा मूविंग एवरेज एक्सपो शियल उसको आपको चूज कर लेना है और यहां पर आपको उसके सेटिंग में जाना है और इनपुट्स के अंदर लेंथ जो बाय डिफॉल्ट नाइन रहेगी उसको आपको फाइव चेंज कर लेना है और स्टाइल में आप आपके अकॉर्डिंग यहां पर चेंजेज कर सकते हैं तो यहां पर हमारा ये इंडिकेटर लग जाएगा अब इसको ट्रेड करना बहुत सिंपल है कि कोई भी स्टॉक अगर ईएएमए के ऊपर ट्रेड कर रहा हो और ईएएमए को टच नहीं करती हो कोई भी कैंडल तो उसके ब्रेक डाउन के बाद हम यहां पे पुट साइड के लिए पोजीशन बना सकते हैं वैसे ही अगर कोई कैंडल ईएएमए के नीचे ट्रेड कर रही है और वो ईएएमए को टच ना करते हुए कोई दूसरी कैंडल उसका ब्रेक आउट करती है तो वहां पर हमारी कॉल साइड के लिए पोजीशन बन जाती है तो क्या ये सेटअप आप पहले से यूज कर रहे थे अगर हां तो मुझे कमेंट करके जरूर बताएं

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