Does RSI(2) dip, MA exit actually work on MSFT? We tested it
We ran RSI(2) dip, MA exit on MSFT through walk-forward testing and a 100-run random-entry gauntlet. 3 of 4 unseen periods positive. Beat 98 of 100 random-entry runs.
You gave up raw return for a higher win rate and a shallower drawdown. This setup is about timing and staying out of trouble, not beating the index.
Equity curve over Aug 2016 to Jul 2026. Hover any point for its value. Turn on buy and hold to compare.
The same rules, tested on 28 tickers. Edge held on 9. We ship it on those.
Show every ticker we tested
This strategy made money, turning a 99% total return over 66 trades, and the ride was fairly steady with a high 77% win rate and an average gain of about 1% per trade. The worst hit was a sharp 13.58% drawdown that happened in just three days around March 2020, which lines up with a major market panic, so that was the only truly painful moment. The result is not driven by just a few lucky trades, because the consistency shows it was profitable in three out of four test periods, meaning the edge worked across different market conditions. The entry timing is extremely strong, as real entries beat 98% of random entry runs, so the signal for buying when RSI(2) dips below 10 while price is above the 200-day average is doing the heavy lifting here. Since the entry edge is so high, the exits are playing a supporting role, but they are still effective at locking in gains by selling when price closes above the 5-day average.
Every verdict on this page comes from the same process. How we test.
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