EdgeStacker
Library
Trend · GLD · 1D

Does EMA 8/21 trend rider actually work on GLD? We tested it

We ran EMA 8/21 trend rider on GLD through walk-forward testing and a 100-run random-entry gauntlet. 3 of 4 unseen periods positive. Beat 76 of 100 random-entry runs.

WALK-FORWARD VERIFIED EDGESTACKER ENGINE
Return +37.8%
Win rate 29.8%
Max drawdown −21.7%
Trades 57
Sharpe 0.51
Equity curve

Equity curve over Aug 2016 to Jul 2026. Hover any point for its value. Turn on buy and hold to compare.

PeriodWindowReturnSharpeTrades
1 Aug 2018 to Jul 2020 +12.3% 1.06 11
2 Jul 2020 to Jul 2022 −14.6% −1.21 13
3 Jul 2022 to Jul 2024 +13.3% 0.82 13
4 Jul 2024 to Jul 2026 +16.9% 0.99 8
3 of 4 periods positive. Mean Sharpe 0.41. Worst period −14.6%.
Market matrix
Edge held on 9 of 28

The same rules, tested on 28 tickers. Edge held on 9. We ship it on those.

GLD SHIPPED
76/100 EDGE
NFLX
98/100 EDGE
MSFT
93/100 EDGE
JPM
93/100 EDGE
GOOGL
86/100 EDGE
AAPL
84/100 EDGE
SPY
79/100 EDGE
IWM
78/100 EDGE
QQQ
75/100 EDGE
Show every ticker we tested
MARA
99/100 NONE
PLTR
98/100 NONE
MSTR
82/100 NONE
AMD
72/100 NONE
BA
65/100 NONE
DIA
59/100 NONE
COIN
58/100 NONE
AMZN
56/100 NONE
XOM
51/100 NONE
RIOT
47/100 NONE
TSLA
45/100 NONE
UBER
43/100 NONE
AVGO
42/100 NONE
META
30/100 NONE
SMCI
29/100 NONE
NVDA
24/100 NONE
MU
15/100 NONE
SOFI
13/100 NONE
HOOD
too new TOO NEW
The rules
Entrywhen EMA of close over 8 bars crosses above EMA of close over 21 bars
Exitwhen a signal fires (close crosses below EMA of close over 21 bars), or stop-loss at -10%
Sizing**Position size:** risk 1% of account → position ≈ 10.0% of account (1% ÷ stop 10%).
Diagnosis

This strategy made money overall with a 37.78% total return, but the ride was very lumpy. You would have experienced a brutal 21.74% drawdown that dragged on for about a year and a half, from August 2020 to February 2022, which is where the strategy hurt the most. The win rate is low at just under 30%, meaning most trades lost money, but the winners were big enough to overcome the losers. The result is not driven by just a few lucky trades, as the entry timing shows a real edge, beating 76% of random entry runs, so the entry signal itself is carrying the performance. The edge also appears consistent, as the strategy was profitable in 3 out of 4 walk forward periods, so the profit did not come from one lucky stretch.

Run this on your own account.

Sign up free. EdgeStacker runs a fresh backtest for you, then alerts you on the Today screen when the setup fires.

Test it yourself, free
Backtested results, not live trading returns. Fees and slippage included. Not investment advice.