HOW TO $1k to $12.4mil in 83 trades on BTCUSD1D BITFINEX w/ NSV4Through an analysis of 83 trades, NSV4 ('Ninja Signals V4' by BitcoinNinjas.org) has demonstrated its ability to turn a modest $1,000 investment into an impressive $12.4 million, showcasing remarkable potential.
In this particular configuration, NSV4 massively outperformed almost any other strategy including the traditional 'buy and hold' in the backtesting of this example.
This chart specifically provides insights and a deeper understanding of the effectiveness and potential of this indicator. It is one of the single best charts ever backtested for Ninja Signals. We have spent years receiving feedback from users and cultivating our script while backtesting different charts and timeframes to achieve this level of success.
The reliability and continual profit over time for 10+ years is astounding in this particular case!
This configuration is unique to this exchange, although is likely to achieve similar results on other exchanges (trading the same pair and the same time interval), perhaps needing only a few minor tweaks.
Let us dissect NSV4's performance and discover the principles that have made it a game-changer. How is it possible to turn 1k into 12.4m in 83 trades?
First of all, you can see that the first trade was in 2013, so these settings are backtested for over 10 years. This didn't happen over night.
Also, this configuration adds the profit of the previous trade to the next trade. On a bot, this would equate to using the entire balance of the account with each trade, and continually increasing the trade amount as profit accrues. Here, we are 'compounding the interest' and using 100% of the trade balance for each trade. This is referred to as "Compounding".
We always make sure that a configuration is highly profitable with compounding OFF before we turn it on. In this case, the results are magical.
When we are backtesting for the best configurations, there are a few things to keep in mind,
these principles are true for any Alerts generating indicator:
1) Has it traded recently, within the last few months? (Yes)
2) Has it been profitable each year if only traded for that year? (Yes)
3) Has it broke even or performed well in a bear market? (Yes)
As you can see, this configuration has traded recently,
It also meets all of the other criteria. Therefore, this would suffice as a tradeable config in our eyes.
In short, why is this pack so successful?
1) Compounding.
2) Long trading history (10yr+).
3) Low SL (Stop Loss) of 6 prevents losing large amounts and keeps trades tight.
4) The results without compounding are stellar to begin with, good start, good finish.
5) Years of backtesting experience from our team culminates in epic configurations.
The 1D chart equates to a longer period of time between trades than most people are used to, which results in approx 1 trade per 1-2 months.
Most people are looking for quick scalping trades but as you can see here, NSV4 has steadily outperformed almost any strategy using complex combinations of basic trading principles and trading for a long period of time.
The tortoise wins the race, in this case.
We generally like to use NSV4 between 60m and 1D, anywhere in between. Sometime obscure timeframes such as 177m or 431min seem to do well. It takes time backtesting to find the best results, as with any script.
Do you know of any other Alerts generating indicators on TradingView that have achieved this level of success? I haven't found any yet! I am anxious to try these settings and to keep testing!
-spiftheninja
PROFIT WHILE YOU SLEEP
