S&P 500 Momentum Strategy — As Simple As It Gets (Rules, Setup and Backtest Results)

A momentum strategy for the S&P 500 works. We use monthly bars and a simple moving average strategy crossover system.

We backtest the following trading rules:

When the close of the current month crosses above the 12-month simple moving average, we go long.
When the close of the current month crosses below the 12-month simple moving average, we sell (and stay in cash until we get a buy signal).

This is it — two simple rules. You can also enter at the open of the following month after a signal.

You can find more info about this trading strategy here:
https://www.quantifiedstrategies.com/sp-500-momentum-strategy/