Your idea: Gap-up/Gap-down opening on RS(on 21 EMA. NOT ON PRICE) in oversold (RS… — backtested on Indian market data | FakeTrades
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Your idea: Gap-up/Gap-down opening on RS(on 21 EMA. NOT ON PRICE) in oversold (RS…

💡 Described strategy
Analysed 01 Aug 2026, 02:43 PM IST
★☆☆☆☆ 1.0 / 5

Why 1.0/5? (stars grade the EDGE — per-trade expectancy, consistency, drawdown — not the headline return)

  • Negative expectancy: -0.22R per trade across 28,756 trades
  • Payoff 0.93 — the average winner is SMALLER than the average loser
  • Only 30% of trades win — the rare big winners must keep showing up
  • 9 of 9 tested years were negative (2018, 2019, 2020, 2021) — the edge is regime-dependent
  • Max drawdown -100% on the ₹2L portfolio — the compounded return came with deep pain along the way

Detected components (auto-read from transcript)

IntradaySwing EMARSI

Verdict

Auto-backtested. AI-decoded: Gap-up/down entry on RSI(21) extreme levels with 21-EMA trend confirmation; swing/positional exit at 21-MA or intraday close with 1% SL. Ran on 138 small-caps, real costs. 28,756 trades, win 30%, payoff 0.93, expectancy -0.22R/trade (avg -1.11%/trade).

This is a losing edge. The payoff ratio is thin. Regime-dependent — positive in only 0% 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 2026-07-23 — 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-100.0%
CAGR-68.0%
Max drawdown-100.0%
Trades783 · 119 won
₹200,000 → ₹25  ·  2018-07-16 → 2026-06-05
201820192020202120222023202420252026
-80%-100%+0%+0%+0%+0%+0%+0%+0%

Simulated on the 138 small-cap universe. Capital-constrained, daily mark-to-market.

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

YearTradesWin %ExpectancyAvg return / trade
2018130327% -0.27R -1.34%
2019272629% -0.23R -1.17%
2020494027% -0.31R -1.54%
2021405429% -0.24R -1.21%
2022375732% -0.19R -0.93%
2023366830% -0.17R -0.87%
2024384030% -0.20R -1.02%
2025305032% -0.18R -0.89%
2026141832% -0.16R -0.81%

Where this strategy made & lost money (the full stock-by-stock breakdown — 138 stocks, incl. 2026)

#StockTradesWin%Avg/tradeBestTotal2026
1 ████████ 17533% -1.1% +14% -185% +11%
2 ████████ 23229% -1.5% +12% -343% +11%
3 ████████ 19023% -1.3% +18% -242% +10%
4 ████████ 25824% -1.4% +14% -360% +10%
5 ████████ 29331% -1.2% +9% -350% +6%
6 ████████ 20932% -1.1% +7% -227% +5%
7 ████████ 28835% -1.0% +18% -300% +5%
8 OLECTRA free peek 36022% -1.5% +17% -536% +5%
9 ████████ 31132% -0.9% +17% -274% +4%
10 ████████ 20135% -0.3% +18% -59% +3%
11 ████████ 14937% -0.8% +8% -124% +3%
12 ████████ 18233% -1.0% +6% -187% +3%
13 ████████ 21225% -1.3% +7% -286% +3%
14 ████████ 20926% -1.1% +12% -238% +2%
15 ████████ 7726% -1.1% +3% -84% +1%
16 ████████ 24429% -1.2% +12% -300% +1%
17 ████████ 22627% -1.4% +12% -322% +1%
18 ████████ 6022% -1.1% +10% -69% +0%
19 ████████ 22235% -0.6% +14% -137% +0%
20 ████████ 18531% -1.2% +12% -213% +0%
21 ████████ 17931% -1.0% +18% -187% -29%
22 ████████ 19426% -1.1% +6% -216% -27%
23 ████████ 19024% -1.3% +9% -253% -26%
24 ████████ 21928% -1.1% +16% -233% -26%
25 ████████ 26432% -1.0% +18% -254% -25%
26 ████████ 19824% -1.0% +13% -206% -24%
27 ████████ 11026% -1.3% +10% -148% -23%
28 ████████ 32830% -1.3% +18% -434% -22%
29 ████████ 26729% -1.1% +16% -291% -22%
30 ████████ 25229% -1.1% +19% -281% -22%
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 -536% 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.

Full transcript (28 words)
Gap-up/Gap-down opening on RS(on 21 EMA. NOT ON PRICE) in oversold (RSI<10) or RSI>90. ; exit at 21-day MA or intraday close for swing/positional trades. SL at 1%.

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