Next-day MOO long/short strategy

Mean Reversion

Systematic equity strategy seeking short-term price dislocations and subsequent reversion while managing long and short exposure. Signals use completed daily bars and simulated entries and exits fill at the next market open.

Backtest period: 2016-07-19 through 2026-08-28 · Starting equity: $100,000

Dashboard updated: 2026-08-28 04:32 PM Pacific Daylight Time

Strategy FAQ

Public overview. Current signals and positions are not shown here.

What is Mean Reversion?

It is a systematic long/short equity strategy designed to trade short-term price dislocations and subsequent reversals.

When are signals executed in the backtest?

Signals use completed daily bars and simulated entries and exits fill at the next market open.

Why might there be no order on a trading day?

No position may have met an exit rule and available portfolio slots may already be full. A new data date does not require a new trade.

What are the main risks?

Long and short positions can both lose money. Opening gaps, borrow constraints, liquidity, and real fills can differ materially from a backtest.

Strategy CAGR
23.8%
SPY CAGR
13.4%
Strategy Max Drawdown
-17.3%
SPY Max Drawdown
-34.1%
Total Return
762.97%
Sharpe Ratio
1.63
Final Equity
$862,973
Closed Trades
2,456
Win Rate
62.46%
Average Trade
0.46%

Equity Curve

Mean Reversion and SPY equity with drawdowns, shown from 2019 through 2026-08-28.

Monthly Returns

YearJanFebMarAprMayJunJulAugSepOctNovDecYTDSPY Year
20268.4%0.9%1.5%0.6%-2.6%0.7%4.5%1.5%16.1%12.8%
202511.0%1.3%1.2%2.7%4.5%9.1%-1.3%7.3%2.6%3.9%2.6%-1.1%52.7%16.4%
20243.7%4.4%4.5%4.0%4.2%3.6%2.0%11.8%1.3%5.5%3.1%-6.0%50.0%23.3%
20232.8%-0.4%4.5%-0.3%0.3%7.2%11.6%-3.1%3.7%3.6%6.7%1.8%44.5%24.3%
2022-11.8%8.0%7.4%0.0%5.5%-0.8%4.1%-3.6%4.9%10.8%2.6%-4.4%22.7%-19.5%
2021-3.0%0.7%4.2%7.5%-3.4%-5.9%1.8%5.0%-1.9%5.4%-5.1%4.7%8.9%27.0%
2020-4.5%7.3%1.7%6.1%4.3%3.6%1.2%-0.6%0.4%5.6%16.5%5.1%56.2%16.2%
20190.0%0.0%0.0%0.0%0.0%0.0%-0.6%1.7%-2.8%3.4%6.4%-0.4%7.5%28.8%

Member Signals

Latest MOO orders, current positions, and recent trades are available to members.

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Important: These are simulated backtest results, not verified live performance. Backtests are hypothetical, may benefit from hindsight, and may not reflect transaction costs, slippage, liquidity constraints, taxes, or future market conditions. Past or simulated performance does not guarantee future results.