Why it might work
A profit ratchet may retain upside while reducing exposure after a large pullback.
Leveraged ETF research · Research strategy
T19 · Profit ratchet
Uses XLK trend for entry and TECL's own high-water mark to trim or exit after a gain reverses. The final study did not qualify this rule for selection.
TECL held or settled cash; XLK and other ETFs used only for signalsDailyLeveraged TECL fund; portfolio target at most 99%
The idea
How it works
Uses XLK trend for entry and TECL's own high-water mark to trim or exit after a gain reverses.
When it invests
Enter up to 99% TECL when XLK is above its 200-day average and its short exponential trend is rising.
When it exits
Trim half after a large gain followed by a 10% TECL pullback; exit below XLK's 100-day average or after a 20% TECL pullback.
What can go wrong
- TECL is leveraged and can lose value quickly, including while an exit signal waits for its next execution window.
- This candidate failed the study's qualification gates despite its simulated return.
Selected research result
T19 base-cost historical backtest
T19 produced a simulated historical return, but failed the finalized study's qualification gates. The result is research evidence, not an approved trading strategy.
Research history
Variants and recorded runs
Repeated and diagnostic runs remain accessible under their tested variant. No run is selected by highest return.
Continuous-Base1 result
T19 base-cost historical backtest
T19 produced a simulated historical return, but failed the finalized study's qualification gates. The result is research evidence, not an approved trading strategy.
Read result