Hello, Group

Regarding today upgrade for Terra. Backtesting shows that Moon based models tend to generate INVERTED projection lines. This is true for S&P500 at least.

Let's look together at Moon model for SNP:



You see the last model (worst model) shows:
average  correlation = - 9.3% (minus i.e. correlation is negative i.e. projection line is inverted)
33 positive correlations versus 59 negative  35.9% i.e. 35.9% cases the projection line was good, 64.1% not good.

If we invert this projection line we will get this

average  correlation =9.3%
59 positive correlations versus 33 negative  64.1%.

So I recommend to play with inverted (last, worst) models but use them in inverted mode, use this parameter to set inverted mode:



I personally do not like inverted models and always try to avoid them. But formal backtesting shows that they work. For SNP it works better than best normal (non inverted) projection line.
We will see...

Best regards.
Sergey.