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The week's question
In December 2024, in the thread "Re: BRK: Why Not XOM?", BreckHutHigh asked the members: "What about the long road trips with kids?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Investment Strategies / Mechanical Investing
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Author: lizgdal   😊 😞
Number: of 6131 
Subject: Re: BCC Updated to 03/20/2026
Date: 03/21/26 12:40 PM
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The BCC signal [SMADiff] is a momentum metric. SPY is higher than a year ago, and so [SMADiff] is Bullish. The math is based on simple moving averages, but reduces to the slope of the price curve (with the endpoints smoothed over 10 days).

gtr1.net: GTR1 Backtester - altSMADiff26

The RRS slope could be used. [SMADiff] was last Bearish between 20250410 and 20250508. The RRS slope was last negative between 20220503 and 20230308. Since 19251231, the signals [SMADiff] and [SlopeRRS] agreed 93% of the time. Both were Bearish about 30% of the time. Count of days:

                SlopeRRS  SlopeRRS
is <=0 is > 0
SMADiff 0 1 total
is <=0 0 6771 823 7594
is > 0 1 965 16607 17572
total 7736 17430 25166


A possible alternative to RRS is based on dividing the time period into thirds, and calculating the slope based on the first and last third. For example, with 210 days:

AltSlopeRRS210 = (sma(0,70) - sma(140,70)) / sma(140,70)

=== math ===

SMA0 = sum(P0 to P199) / 200
SMA10 = sum(P10 to P209) / 200

SMADiff = SMA0 - SMA10
200*SMADiff = sum(P0 to P199) - sum(P10 to P209)
200*SMADiff = sum(P0 to P9) - sum(P200 to P209)

This is equivalent to:
AltSMAD = (sma(0,10) - sma(200,10)) / 20

=== SMADiff definition ===

Create [SMADiff]: [Simple Moving Avg of closing g-prices over 200 days; lag=0 days] - [Simple Moving Avg of closing g-prices over 200 days; lag=10 days]

step0: [SMADiff] > 0

"The Simple Moving Average (SMA) Slope identifies whether the intermediate trend of the market is up or down.
1) Take the 40 week moving average (200 day) of the S&P 500
A.) later optimized by Zeelotes to 180 days
2) If this week's figure is better than that of 2 weeks ago, then buy (or hold, if in already).
A.) later optimized by Zeelotes to 7 market days
3) If less, sell or wait it out."
mechinvesting.wikidot.com - Sma slope
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