Backtesting Arena

Backtesting Arena

Does 200 WMA Filter help EMA Trend Bias?

Etf · 40 backtest runs · As of 22 Jun 2026 · Methodology

NeutralDSR ✓ confirmed

No material CAGR effect (±1pp vs. baseline). Filter may still reduce drawdown.

CAGR Comparison

Baseline CAGR
8.4%
no filter
Filtered CAGR
9.3%
200 WMA Filter
Δ CAGR
+0.85%
Sample
40
runs

Risk-Adjusted Performance

Baseline Sharpe
0.287
median
Filtered Sharpe
0.530
Δ Sharpe
+0.24
DSR
100.0%
confirmed ≥90%

How does this filter work?

BUY signals only when price > 200-week MA

DSR Methodology

DSR = PSR(SR̂₀) per Bailey & López de Prado (2014). SR̂₀ = 0.3479 (expected best Sharpe from 7 random filter trials).

Testing multiple filters on the same data increases the chance of finding a good result by luck. DSR measures whether this result clears the multiple-testing threshold. Pass threshold: DSR ≥ 90%. Current: 100.0%.

Full analysis in Edge Library

Per-asset breakdown, trade-level data, Sharpe comparison — available after sign-in.

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200 WMA Filter + EMA Trend Bias on Etf — Edge Analysis | Backtesting Arena | Backtesting Arena