1. Strategy Overview
Our investment strategy leverages a simple yet effective algorithmic trading model centered
solely around the SPDR S&P 500 ETF Trust (SPY). The core of our approach is based on the 50-
day moving average (MA) as a technical indicator to guide our buy and sell decisions. This
strategy seeks to capitalize on medium-term price trends, aiming to optimize returns while
mitigating risks associated with market volatility.

2. Concept and Reasoning
The 50-day moving average is a widely recognized technical indicator in the investment
community, known for its ability to smooth out short-term price fluctuations and highlight the
prevailing trend. By employing this indicator, our strategy aims to:
- Capture Upward Trends: When the SPY price crosses above the 50-day MA, it signals a
bullish trend. Our bot executes a buy order, positioning our portfolio to benefit from the upward
momentum.
- Mitigate Downside Risk: Conversely, when the SPY price falls below the 50-day MA, it
indicates a potential bearish trend. Our bot triggers a sell order, thereby reducing our exposure to
potential declines.
This approach is rooted in the belief that market trends, once established, tend to persist for a
period, allowing us to ride the wave of positive momentum while avoiding significant
downturns.

3. Philosophy and Principles
Our investment philosophy is built on the principles of simplicity, consistency, and data-driven
decision-making.
- Simplicity: We believe that a straightforward strategy can be just as effective, if not more
so, than a complex one. By focusing on a single, well-established technical indicator, we
reduce the risk of overfitting and ensure our model remains robust across different market
conditions.
- Consistency: Adhering to a disciplined, rule-based approach eliminates emotional biases

and ensures consistent execution of trades. This consistency is critical in achieving long-
term success in algorithmic trading.

- Data-Driven: Our strategy is grounded in quantitative analysis, utilizing historical price
data to inform our trading decisions. This data-driven methodology allows us to
objectively assess market conditions and respond accordingly.