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Mean reversion · JPM · 1D

Does Turtle Soup reversal actually work on JPM? We tested it

We ran Turtle Soup reversal on JPM through walk-forward testing and a 100-run random-entry gauntlet. 3 of 4 unseen periods positive. Beat 78 of 100 random-entry runs.

WALK-FORWARD VERIFIED EDGESTACKER ENGINE
Return +28.2%
Win rate 82.1%
Max drawdown −11.3%
Trades 28
Sharpe 0.47
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 +3.0% 0.29 8
2 Jul 2020 to Jul 2022 −3.9% −0.55 4
3 Jul 2022 to Jul 2024 +3.2% 0.27 7
4 Jul 2024 to Jul 2026 +10.5% 0.67 6
3 of 4 periods positive. Mean Sharpe 0.17. Worst period −3.9%.
Market matrix
Edge held on 3 of 28

The same rules, tested on 28 tickers. Edge held on 3. We ship it on those.

JPM SHIPPED
78/100 EDGE
META
95/100 EDGE
MSFT
92/100 EDGE
Show every ticker we tested
COIN
94/100 NONE
NFLX
73/100 NONE
DIA
71/100 NONE
NVDA
66/100 NONE
RIOT
66/100 NONE
AVGO
57/100 NONE
MSTR
54/100 NONE
MARA
46/100 NONE
AMZN
42/100 NONE
AMD
42/100 NONE
BA
41/100 NONE
SPY
39/100 NONE
IWM
27/100 NONE
UBER
21/100 NONE
GOOGL
19/100 NONE
MU
8/100 NONE
GLD
6/100 NONE
QQQ
5/100 NONE
AAPL
3/100 NONE
TSLA
2/100 NONE
PLTR
too new TOO NEW
HOOD
too new TOO NEW
XOM
too new TOO NEW
SMCI
too new TOO NEW
SOFI
too new TOO NEW
The rules
Entrywhen the low sweeps below the last confirmed swing low and closes back above it AND close is above SMA of close over 200 bars
Exitwhen a signal fires (close is at or above HIGHEST of close over 5 bars), or 10 bars have passed since entry (time stop)
Sizing**Position size:** no fixed stop distance to size against. This strategy exits on signal only. Size by conviction, or add a hard stop for a size-by-risk number.
Diagnosis

This strategy made money overall with a 28.24% total return, and the ride was very steady with an 82.14% win rate, meaning most trades were winners. However, the journey was lumpy in one big way: the worst drawdown of -11.30% lasted over two years from mid-2019 to late 2021, which is a very long and painful dry spell. The result is not driven by just a few lucky trades, as the average gain per trade was a modest 0.96% across 28 trades. The entry timing is doing most of the work here, since the entry-timing edge beat 78% of random entries, meaning the specific setup for getting in is strong. The edge was consistent across time, as the strategy was profitable in 3 out of 4 walk-forward test periods, so the performance did not come from just one lucky stretch.

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Backtested results, not live trading returns. Fees and slippage included. Not investment advice.