SPY systems and KISS together

    Posted by matt on 14th of Nov 2020 at 01:09 pm

    I've mentioned this probably a dozen times or more before but I never put it on a chart. As you know the KISS system is a trend following system, whereas the SPY systems are reversion to mean (except for the breakout sub system). In most cases most of the long trades from the SPY system will take trades whenever the KISS system is in cash after hitting its last DVT stop. Also the KISS trend since it's a trend system in most cases needs a move off the lows to trigger back long (except in the very rare exhaustion oversold conditions like Mar of this year, Mar 2009, Dec 26th 2018 etc. I've mentioned ideas before about how one could possible use the SPY system trades to go back long early before the KISS and if the SPY system trade was still long while the KISS triggered back long, well one could simply then choose to hold that trade now via the KISS instead of exiting. 

    so here's a few examples. I took the SPY systems and placed a bunch of the long systems on one chart. I didn't include the breakout system since the KISS would already be long when a the breakout system triggered. Also I didn't include a couple of the shallow pullback systems like the Trend momo as most of the time the KISS would still be long while that system triggers. I also didn't include any of the shorts here since I'm showing long only. 

    Anyway I simply applied the KISS to this SPY chart, that has 7 of the long sub systems on it. I may also add the exhaustion shorts to it, but not sure. 

    anyway as you look through the images you can see all the SPY system long trades occurring when the KISS system was already out in cash

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