claude / mcp / algorithmic trading / backtesting / nexustrade
Claude Trading Strategies: I Tested SPY Timing Against Buy-and-Hold
Connect an AI client to NexusTrade through MCP, then inspect a trading strategy and its historical backtest. This walkthrough uses Claude in Hermes and compares holding SPY above its 200-day moving average, staying in cash below it, with buying and holding SPY.
The completed draft backtests cover January 2020 through December 2025 with stock fees of 0.1% per fill. The timing strategy returned 68.1% with an 18.6% maximum drawdown; buy-and-hold returned 119.0% with a 33.3% maximum drawdown. The video shows the connection, strategy rules and comparison, so you can inspect the historical results in NexusTrade.
Transcript
0:00If you want Claude to build a trading strategy and actually backtest it, here's how you connect it to Nexus Trade.
0:05The setup is pretty straightforward, so let me walk you through it.
0:09First, open Nexus Trade and go to Developers, because this is where you get the MCP connection for Claude and other AI tools.
0:17Then, click Add to Claude and confirm the connection, and when you sign in to Nexus Trade and approve it, Claude can start using the tools.
0:25This is the server address, and the connection happens through your Nexus Trade account.
0:30Once it's connected, you can give Claude the strategy you want to test, and I'll keep this example simple.
0:35Hold SPY above its 200 -day moving average and cash below it, then backtest that and compare it against buying and holding SPY.
0:44and there it is.
0:45The strategy rules and the backtest are right here, so you can inspect what it actually built.
0:50Here's the return and the biggest drawdown alongside the benchmark over the same dates, and if you ask Claude why the strategy behaved that way, it can walk you through it.
0:59If you want a follow -up where we test a strategy from the comments, drop your idea below.
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