Task: Create code and backtest strategy, based on the RSI expert values.

1. Select item under the BacktestingXL menu to open Strategy Editor:

2. Change Strategy Name to "RSI Strategy":

3. It is recommended to use variables to increase strategy code readability. Write the following string:

4. What is RNG("G1")? RNG() function enables you to use values from worksheet in your strategy. As you remember we have Cutler's RSI Expert Values, located in G column with column header in G1 cell:

5. To create action-code, write the following string:

6. Strategy code creation complete. The strategy code should look like this:

7. You're ready to create Strategy Performance Report. Click to close Strategy Editor.
8. Select item, to open Detailed Report Wizard:

9. Click AutoFind button, to automatically locate all available historical data series:

10. Select INTC data series from the list and switch to Strategy tab:

11. Select RSI Strategy from the list and click Settings button. Set them as shown on the picture and click Ok:

12. Click Ok on the Detailed Report Wizard window to generate report.

Task Results

• 7-worksheet detailed strategy test performance report will be generated.

• Conclusion: purely-RSI-based strategy has bad performance.

• Recommendations:
• Experiment with Settings: try to increase Max Short Positions during down-trend (or increase Max Long Positions during up-trend).
• Experiment with Buy/Sell proportions: Buy less, Sell more (Buy 20/Sell 100) when down-trend and vice-versa when up-trend.