I took 200 trades with the Connors RSI trading strategy to see if it could get a higher win rate than other strategies we have tested so far.
You probably know what the RSI indicator is: a line that moves between the overbought and oversold levels.
But the RSI indicator can sometimes feel a little slow.
That’s where the Connors RSI comes into play.
As you can see, this CRSI goes into the oversold and overbought levels frequently.
But the interesting thing is that the creator of this indicator recommends using the 90 level as the overbought zone and the 10 level as the oversold zone.
This makes sure we only get extreme overbought and oversold entry points.
But things get even better.
You know how in most testing videos, I like to use the 200-period moving average to find the trend direction.
Well, the creator of this indicator also recommends using the 200-period moving average with this CRSI indicator.
So, in this testing video, we don’t need to modify the strategy to fit with the trend direction.
It is already designed to work with the trend by default.
So, here’s how I tested the strategy.
When the CRSI line came out of the extreme oversold zone, and if the price was above the 200-period moving average, then I took a long entry.
I set the stop loss below the swing low of the trend, something like this.
I set the profit target at 1.5 times the stop-loss distance in my testing.
Similarly, if the price was below the 200-period moving average, I saw it as a downtrend and only took short trades.
When the CRSI line crossed below the extreme 90 overbought level, I took a short trade.
I set the stop loss above the swing high, like this.
The profit target is set at 1.5 times the stop-loss distance.
But the thing is, I have tested this Connors RSI strategy before in a mostly trending market.
There, it had a 39% win rate with a 1.5-to-1 reward-to-risk ratio.
The break-even win rate with that ratio is 40%.

So, this 39% win rate was around the break-even point, and the profit graph was moving sideways for the most part.
But what will happen to the win rate if I take 100 trades in an extremely good trending market?
I mean, we have seen some strategies get really high win rates in these conditions.
Can Connors RSI perform better than those strategies, or will it suck?
On top of that, what will happen to the win rate if I take another 100 trades in the bad, ranging, choppy market?
How low can the win rate go if the market conditions are extremely bad?
Well, since the Gold/USD was trending excellently in the upward direction on the one-day time frame, I added a nine-period exponential moving average to the chart.
I saw the price movement above this 9 EMA as excellent for the “extremely good market” test.
If the price was choppy, ranging, or not clearly above the 9 EMA, I saw it as a bad movement for the trend strategy.
I then took 100 trades in it for the “extremely bad market” test.
I also drew red boxes around the bad market movement.
But all this “good and bad market” filter was only done on the one-day time frame.
My entry time frame, where I took trades with the RSI strategy, was 30 minutes.
So, this is what happened in the “extremely good market” test.
The profit graph started to move up pretty strongly at the start.
In the extremely good trending market, this indicator was showing the end of the pullback nicely.
Many times, it felt like the accuracy of this indicator is really good.
Many times, the stop-loss distance was small with this strategy, and that resulted in the profit distance also being small.
But then the profit graph started to move in a sideways direction, even though the profit line moved up strongly near the start.
In the remaining portion, the profit line was staying pretty much flat.
It managed to win five trades in a row and lost six trades in a row.
It made around 17% profit on the account.

In the end, it got a 47% win rate, which is above the 40% break-even point.
But it’s definitely lower than some of the other strategies we have seen in this extreme testing series.
The profit graph also looks kind of slow compared to other strategies’ profit graphs.
But before we compare it with other strategies, we need to take 100 trades in the extremely bad market.
Here, the profit graph was doing more up-down, up-down movement.
But overall, it was moving in the downward direction slowly.
It’s not as bad as some of the other popular strategies we have seen.
I mean, some strategies were losing money really fast.
This one was closer to the break-even point.

It managed to win three trades in a row but lost seven trades in a row.
It made a 5% loss on the account.
In the extremely bad market, it got a 38% win rate, which is near the 40% break-even point.
The profit graph is slowly moving in a downward direction.
Let’s give it a Trading Rush score and compare it with other strategies.
In the previous, mostly good market test, Connors RSI had around a break-even win rate.
It had a 4 out of 10 score in the win rate category.
The only high score it had was in the easy-to-use category.
Other than that, it had a low score in the reliability, consistency of profits, and quality of trades categories.
But in the extremely good market, the Connors RSI strategy gets a 5.6 out of 10 score in the win rate category.
It did get a profitable 47% win rate, but it’s definitely not the highest win rate we have seen in the extremely good market.
The Bollinger Band strategy had an 9 out of 10 score, for comparison.
The easy-to-use score stays the same at 7.5 out of 10.
Since it is kind of quick to react to small reversal points, it’s not that reliable when you consider price makes a lot of up-and-down movement.
It gets a 6 out of 10 in the reliability of trades category.
As for consistency of profits, it gets a 5 out of 10.

Because even though the profit graph went in the upward direction for the most part, it stayed pretty much flat.
That’s not a good sign.
The profit graph of many other strategies was going more continuously in the upward direction.
It gets a 7 out of 10 in the quality of trades category.
Most of the entry points it gives are near the end of the pullback, which is a good thing in a trending market.
This brings the total TR score to 31.1.
It ranks 13th from the top.
So, it’s not that good of a strategy, even though it is profitable in the extremely good market.
But in the extremely bad market, Connors RSI gets a 3.8 out of 10 in the win rate category, which is not a bad score.
The highest score in this category is 4 out of 10 because most strategies just straight up lost money continuously.
So, this 3.8 out of 10 score is pretty decent.
The easy-to-use score is 7.5.
The reliability and the quality of trades score is 3.8 out of 10.
Since it didn’t make any profit, it gets a 0 out of 10 in the consistency of profits category.
That brings the total TR score to 18.9 in the extremely bad market.
It ranks around the sixth place from the top.
So, you can say in the mostly good trending market, this strategy doesn’t make any money, but it also doesn’t lose money.
In the extremely good market, it does make money, but the win rate is low compared to other strategies.
And in the extremely bad market, its profit graph slowly moves in the downward direction, with the win rate staying just below the break-even point.
Instead of using this fast RSI strategy, it’s better to use other strategies that performed really well when we tested them 100 times on the Trading Rush channel.
Thanks for watching.