52 Week Low Fixed 20% Profit Investment Strategy

52 week low longer term contrarian investing strategy for use on daily charts. Works best with high quality dividend stocks in long term uptrends (e.g. PEP, MCD, KO, FUL).

The strategy buys at the first 52 week low then holds for a specific number of days (default 241 which is roughly a year minus weekends and public holidays). If the profit target % is reached the stock is sold for a profit. If the target is not reached then the target is changed to breakeven. The script waits another year then sells. There is no stop loss. With most quality stocks they will tend to revert to a breakeven price at some point in the future. It's also possible to collect dividends while hodling the stock.

For more background information on this strategy read "The 52 Week Low Formula" by Luke L. Wiley CFP (John Wiley & Sons, 2014).