rt maax EMA cross strategythis just sample of our strategies we published with open source, to learning our investor the way of trading and analysis, this strategy just for study and learning
in this strategy we use expontial moving avarage 20 , 50 , 200 and the we build this strategy when the price move up ema 200 and ema 20,50 cross up the 200 ema in this conditions the strargey will open long postion
and the oppisit it is true for short postion in this sitation the price should be under ema 200 and the ema 20 , 50 should cross under 200 ema then the strategy will open the short postion
we try this strategy on forex ,crypto and futures and it give us very good result ,, also we try this postion on multi time frame we find the stragey give us good result on 1 hour time frame .
in the end our advice for you before you use any stratgy you should have the knowledg of the indecators how it is work and also you should have information about the market you trade and the last news for this market beacuse it effect so much on the price moving .
so we hope this strategy give you brefing of the way we work and build our strategy
Ketidakstabilan
BOLLY BandsThis is a strategy using Bollinger Bands. The strategy is predicated around having low volatility in price action and then looking to capture a move when price starts to trend outside of the Bollinger bands. This strategy has only been backtested for 1 month but it has promising results so I will be sharing it looking for feedback. I run this strategy on the ERUSD 1 min chart.
Channels Strategy [JoseMetal]============
ENGLISH
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- Description:
This strategy is based on Bollinger Bands / Keltner Channel price "rebounds" (the idea of price bouncing from one band to another).
The strategy has several customizable options, which allows you to refine the strategy for your asset and timeframe.
You can customize settings for ALL indicators, Bollinger Bands (period and standard deviation), Keltner Channel (period and ATR multiplier) and ATR (period).
- AVAILABLE INDICATORS:
You can pick Bollinger Bands or Keltner Channels for the strategy, the chosen indicator will be plotted as well.
- CUSTOM CONDITIONS TO ENTER A POSITION:
1. Price breaks the band (low below lower band for LONG or high above higher band for SHORT).
2. Same as 1 but THEN (next candle) price closes INSIDE the bands.
3. Price breaks the band AND CLOSES OUT of the band (lower band for LONG and higher band for SHORT).
4. Same as 3 but THEN (next candle) price closes INSIDE the bands.
- STOP LOSS OPTIONS:
1. Previous wick (low of previous candle if LONG and high or previous candle if SHORT).
2. Extended band, you can customize settings for a second indicator with larger values to use it as STOP LOSS, for example, Bollinger Bands with 2 standard deviations to open positions and 3 for STOP LOSS.
3. ATR: you can pick average true ratio from a source (like closing price) with a multiplier to calculate STOP LOSS.
- TAKE PROFIT OPTIONS:
1. Opposite band (top band for LONGs, bottom band for SHORTs).
2. Moving average: Bollinger Bands simple moving average or Keltner Channel exponential moving average .
3. ATR: you can pick average true ratio from a source (like closing price) with a multiplier to calculate TAKE PROFIT.
- OTHER OPTIONS:
You can pick to trade only LONGs, only SHORTs, both or none (just indicator).
You can enable DYNAMIC TAKE PROFIT, which updates TAKE PROFIT on each candle, for example, if you pick "opposite band" as TAKE PROFIT, it'll update the TAKE PROFIT based on that, on every single new candle.
- Visual:
Bands shown will depend on the chosen indicator and it's settings.
ATR is only printed if used as STOP LOSS and/or TAKE PROFIT.
- Recommendations:
Recommended on DAILY timeframe , it works better with Keltner Channels rather than Bollinger Bands .
- Customization:
As you can see, almost everything is customizable, for colors and plotting styles check the "Style" tab.
Enjoy!
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ESPAÑOL
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- Descripción:
Esta estrategia se basa en los "rebotes" de precios en las Bandas de Bollinger / Canal de Keltner (la idea de que el precio rebote de una banda a otra).
La estrategia tiene varias opciones personalizables, lo que le permite refinar la estrategia para su activo y temporalidad favoritas.
Puedes personalizar la configuración de TODOS los indicadores, Bandas de Bollinger (periodo y desviación estándar), Canal de Keltner (periodo y multiplicador ATR) y ATR (periodo).
- INDICADORES DISPONIBLES:
Puedes elegir las Bandas de Bollinger o los Canales de Keltner para la estrategia, el indicador elegido será mostrado en pantalla.
- CONDICIONES PERSONALIZADAS PARA ENTRAR EN UNA POSICIÓN:
1. El precio rompe la banda (mínimo por debajo de la banda inferior para LONG o máximo por encima de la banda superior para SHORT).
2. Lo mismo que en el punto 1 pero ADEMÁS (en la siguiente vela) el precio cierra DENTRO de las bandas.
3. El precio rompe la banda Y CIERRA FUERA de la banda (banda inferior para LONG y banda superior para SHORT).
4. Igual que el 3 pero ADEMÁS (siguiente vela) el precio cierra DENTRO de las bandas.
- OPCIONES DE STOP LOSS:
1. Mecha anterior (mínimo de la vela anterior si es LONGy máximo de la vela anterior si es SHORT).
2. Banda extendida, puedes personalizar la configuración de un segundo indicador con valores más extensos para utilizarlo como STOP LOSS, por ejemplo, Bandas de Bollinger con 2 desviaciones estándar para abrir posiciones y 3 para STOP LOSS.
3. ATR: puedes elegir el average true ratio de una fuente (como el precio de cierre) con un multiplicador para calcular el STOP LOSS.
- OPCIONES DE TAKE PROFIT:
1. Banda opuesta (banda superior para LONGs, banda inferior para SHORTs).
2. Media móvil: media móvil simple de las Bandas de Bollinger o media móvil exponencial del Canal de Keltner .
3. ATR: se puede escoger el average true ratio de una fuente (como el precio de cierre) con un multiplicador para calcular el TAKE PROFIT.
- OTRAS OPCIONES:
Puedes elegir operar sólo con LONGs, sólo con SHORTs, ambos o ninguno (sólo el indicador).
Puedes activar el TAKE PROFIT DINÁMICO, que actualiza el TAKE PROFIT en cada vela, por ejemplo, si eliges "banda opuesta" como TAKE PROFIT, actualizará el TAKE PROFIT basado en eso, en cada nueva vela.
- Visual:
Las bandas mostradas dependerán del indicador elegido y de su configuración.
El ATR sólo se muestra si se utiliza como STOP LOSS y/o TAKE PROFIT.
- Recomendaciones:
Recomendada para temporalidad de DIARIO, funciona mejor con los Canales de Keltner que con las Bandas de Bollinger .
- Personalización:
Como puedes ver, casi todo es personalizable, para los colores y estilos de dibujo comprueba la pestaña "Estilo".
¡Que lo disfrutes!
Trend #4 - ATR+EMA channelOverview:
This strategy use ATR to take-profit, Red-EMA to stop-loss, Blue-EMA channel to judgment breakout.
This strategy use commission setting is 0.05%, slippage setting is 2 ticks, you can set the appropriate value size in the properties page.
What it does:
This strategy detects when a trend is emerging and buy or sell.
How it does it:
When the price breaks through the blue EMA channel, the trend is judged to be strong in the short term, strategy generates a buy or sell order.
After buying or selling,, if the price moves in the expected direction, uses ATR to determine the appropriate spread to take profit, otherwise use red EMA for stop loss.
How to use it:
Start Date and Stop Date - This parameter adjusts the time range used by the strategy.
Stoploss - This parameter adjusts the stop loss amount after each order is placed.
Blue EMA length - This parameter adjusts the length of the channel.
Blue EMA multy - This parameter adjusts the width of the top and bottom of the channel.
ATR Period - This parameter adjusts the number of candles used by the ATR.
ATR mult - This parameter adjusts the upper and lower widths of the ATR. Lowering this parameter can improve the win rate, but not necessarily the profitability.
Red EMA length - This parameter adjusts the number of candles used by the red EMA .
Long - This switch is used to turn Long position on or off.
Short - This switch is used to turn short position on or off.
BlackSwan strategyWild fluctuation of price is detected automatically, you will be informed of the black swan immediately.
Period: 1-3minutes
Strategy Myth-Busting #6 - PSAR+MA+SQZMOM+HVI - [MYN]This is part of a new series we are calling "Strategy Myth-Busting" where we take open public manual trading strategies and automate them. The goal is to not only validate the authenticity of the claims but to provide an automated version for traders who wish to trade autonomously.
Our sixth one we are automating is " I Tested ''7% Profit Per Day" Scalping Strategy 100 Times ( Unexpected Results ) " from " TradeIQ " which claims to have made 175% profit on the 5 min chart of BTCUSD with a having a 61% win rate in just 32 days.
Originally, we mimicked verbatim the indicators and settings TradeIQ was using however weren't getting promising results anything close to the claim so we decided to try and improve on it. We changed the static Parabolic SAR to be adaptive based upon the timeframe. We did this by using an adjustable multiplier for the PSAR Max. Also, In TradeIQ's revised version he substituted Hawkeye's Volume Indicator in lieu of Squeeze Momentum. We found that including both indicators we were getting better results so included them both. Feel free to experiment more. Would love to see how this could be improved on.
This strategy uses a combination of 4 open-source public indicators:
Parabolic Sar (built in)
10 in 1 MA's by hiimannshu
Squeeze Momentum by lazybear
HawkEYE Volume Indicator by lazybear
Trading Rules
5m timeframe and above. We saw equally good results in the higher (3h - 4h) timeframes as well.
Long Entry:
Parabolic Sar shifts below price at last dot above and then previous bar needs to breach above that.
Price action has to be below both MA's and 50MA needs to be above 200MA
Squeeze Momentum needsd to be in green or close to going green
HawkEYE Volume Indicator needs to be show a green bar on the histagram
Short Entry:
Parabolic Sar shifts above price at last dot below and then previous bar needs to breach below that.
Price action needs to be above both MA's and 50MA needs to be below 200MA
Squeeze Momentum needsd to be in red or close to going red
HawkEYE Volume Indicator needs to be show a red bar on the histagram
If you know of or have a strategy you want to see myth-busted or just have an idea for one, please feel free to message me.
Trend #2 - BB+EMAWhat is the Trend #2 - BB+EMA?
This strategy uses a combination of Bollinger Bands and Exponential Moving Averages, and adds the position management skills.
When a position is established, if the price moves in the wrong direction, EMA will move the stop price closer to the opening price, which will reduce losses during the shocks.
If the price moves in the right direction, EMA will be close to the latest price to try to keep the profit.
Once a trend starts to emerge, the strategy is bound to capture the opportunity. I think this is a very smart way to do it.
This strategy performs well in almost all cryptocurrencies, it's mean the strategy has good generalizability.
Volatility Stop with Vwap StrategyFirst the credits goes to @TradingView for their release of the volatility stop mtf indicator.
I have took it, and inside I have added a weekly vwap for a better trend direction and at the same time I have added a dynamic risk managment which is calculated from the distance between the volatility line to the close of the candle.
The rules for entry are simple:
For long:We enter when our close of the candle is above the volatility stop line and at the same time the close of the candle is above weekly vwap
For short we enter when our close of the candle is below the volatility stop line and at the same time the close of the candle is below weekly vwap.
We exit when we either have a reverse signal than the one we enterred, or based on the TP/SL which is calculated with the distance from vwap to the close of the candle.
If you have any questions please let me know !
Trend Breakout high/low #1What is the Trend Breakout high/low #1?
This script uses the high/low of each fixed time period as a conditional judgment, and when the high/low is broken as a buy/sell signal, trying to capture a trend.
How to use this script?
Start date and Stop date: You can choose the date of the test.
Trading cycle: Selected time period is used as the basis for determining the high/low and is limited to one trade only.
Stop range: This value will calculate the stop loss range. Set 50-100 that is better
Fixed mode: Fixed of lots per transaction.
---Additional Functions---
Reversal mode: Reversing the buy and sell signals, may be useful in certain situations.
Wighted mode: Increased profitability under certain conditions
When win & When lose:Judgment when there is an ongoing loss/profit as a condition, may be useful in certain situations.
Use closing price: Use the closing price breakout high/low as a conditional judgment, but this function sometimes fails.
Notes:
Trading cycle and your chart time period can't be set too close,that will result repainting.
Stop range can't be set too small,that will result repainting either.
SSL + Wave Trend StrategyStrategy incorporates the following features:
Risk management:
Configurable X% loss per stop loss
Configurable R:R ratio
Trade entry:
Based on strategy conditions below
Trade exit:
Based on strategy conditions below
Backtesting:
Configurable backtesting range by date
Trade drawings:
Each entry condition indicator can be turned on and off
TP/SL boxes drawn for all trades. Can be turned on and off
Trade exit information labels. Can be turned on and off
NOTE: Trade drawings will only be applicable when using overlay strategies
Alerting:
Alerts on LONG and SHORT trade entries
Debugging:
Includes section with useful debugging techniques
Strategy conditions
Trade entry:
LONG
C1: SSL Hybrid baseline is BLUE
C2: SSL Channel crosses up (green above red)
C3: Wave Trend crosses up (represented by pink candle body)
C4: Entry candle height is not greater than configured threshold
C5: Entry candle is inside Keltner Channel (wicks or body depending on configuration)
C6: Take Profit target does not touch EMA (represents resistance)
SHORT
C1: SSL Hybrid baseline is RED
C2: SSL Channel crosses down (red above green)
C3: Wave Trend crosses down (represented by orange candle body)
C4: Entry candle height is not greater than configured threshold
C5: Entry candle is inside Keltner Channel (wicks or body depending on configuration)
C6: Take Profit target does not touch EMA (represents support)
Trade exit:
Stop Loss: Size configurable with NNFX ATR multiplier
Take Profit: Calculated from Stop Loss using R:R ratio
Credits
Strategy is based on the YouTube video "This Unique Strategy Made 47% Profit in 2.5 Months " by TradeSmart.
It combines the following indicators to determine trade entry/exit conditions:
Wave Trend: Indicator: WaveTrend Oscillator by @LazyBear
SSL Channel: SSL channel by @ErwinBeckers
SSL Hybrid: SSL Hybrid by @Mihkel00
Keltner Channels: Keltner Channels Bands by @ceyhun
Candle Height: Candle Height in Percentage - Columns by @FreeReveller
NNFX ATR: NNFX ATR by @sueun123
Pro Trading Art Open Range Breakout StrategyThis strategy is based on Selected Candle High Low Breakout with buffer point.
You can select specific candle from input tab by giving time of that candle.
Default Settings:
Start Hour : Hour of starting candle means from this input you can specify opening candle. Default is 9.
Start Minute: Minute of starting candle. Default is 15. Means Default opening candle is 9:15
Stop Hour : Means After this time no new trade will execute.
End Hour & End Minute & Close All Trade : Means when you specify End Hour and Minute and Close all trade is true then strategy will close all trade on specified time.
Buffer : With the help of this option you can add some point in High and low of Opening Candle
Trade Mode : You can specify Target and Stop Loss in point or Percent
Stop Loss Point or Percent : This will work according to Trade Mode
Target Point Or Percent : This will work according to Trade Mode
Accumulation Stage Identifier and Strategy around for TradingIn the psychology of trading at any market condition, there are four stage usually occurs on any tickers.
Stage 1 -> Neglect phase or consolidation phase
It occurs when the company does not produce the expected result and waiting for next result.
It can extend for days, weeks, months and years. Never give entry at this stage though that blue-chip told to be cheaper in price.
Stage 2 -> Accumulation
It occurs when the company's earning and sales consistently grows.
It can extend for days, weeks, months but should not expect the continues increase in price, as there will be potential pull-back which can be considered as opportunity to accumulate.
If the company fundamental is good, just give some space at the time of pullback.
Most of the time, the pullback volume will be low to compare to volume at the time of increase.
Usually, the stock that is going through accumulation stage will definitely trade above 200SMA and short term MA will be greater than long term moving average.
Continues the highest high and highest low along with volume.
Stage 3 -> Distribution
It occurs when the company's earning and sales stagnated due to certain reason.
It can extend for days, weeks while the price and volume highly volatile.
High volume while the price low
Typically, the stock that is going through distribution stage will certainly trade below 200SMA and short term MA will be lesser than long term moving average.
Continues the lowest high and lowest low along with volume.
Stage 4 -> Capitalization
Price reaches the 52W low while volume spikes on big down.
In each stage, the price & volume are perfect indicator to highlight the situation and the trader with proper discipline and patients can certainly reap the fruitful outcome of accumulation stage.
Based on this explanation, here is the strategy that is created with 50,90 & 200 Simple moving average and price volume trends (PVT) indicator applied on MACD to signal whenever the PVT convergence and divergence.
Note:
As the indicator designed to signal on the ticker that trade above 200 moving average, it is good to use this strategy on companies that are fundamental strong.
Whenever, there is pull back happens, the strategy might signal for exit, however, here comes the traders patient based on the conviction on the particular chosen stocks.
White being patient is good, disciplinary in following the strategy also important. Hence, consider the action when the stock goes opposite direction from your expectation.
Hope this strategy would help you find the profit.
Happy investing.
BT-SAR Ema, Squeeze, Volatility
Esse script foi criado para estudo de Backtest.
Ele usa o SAR PARABÓLICO como indicador de sinal de entrada, você também pode combinar 3 indicadores para filtrar as entradas: Média Móvel, Squeeze Momentum e Volatility Oscilator .
Existe duas entradas, quando o SAR Parabólico vira ou pelo Breakout (usando o último preço) do SAR Parabólico antes dele virar.
As Os filtros podem ser usados de forma combinada ou individual.
O Script também pode ser usado com algum serviço de bot como 3commas.io, basta colocar as mensagens de entrada e saída para o bot.
This script was created for Backtest study.
It uses PARABOLIC SAR as input signal indicator, you can also combine 3 indicators to filter inputs: Moving Average, Squeeze Momentum and Volatility Oscillator .
There are two entries, when the Parabolic SAR turns or by Breakout (using the last price) of the Parabolic SAR before it turns.
The Filters can be used in combination or individually.
The Script can also be used with some bot service like 3commas.io, just put the input and output messages to the bot.
scalping with market facilitationThis strategy is for scalping low timeframes for 10 pips. I have yet to see a strategy with this unique combo of indicators.
First we have volume indicator market facilitation, where we are looking for volume and mfi to be up, then we want the adx 5 to be above level 30 and above its ema period 3, then if these conditions are good we take shorts when ema 8 is below ema 100 and longs when ema8 is above ema 100 with parabolic sar in its propet place, also to verify trend we have obv over or under its ema of 55 and macd line over its signal line.
I have heikenashi bars on with the regular priceline showing so j see actual price levels, when i get a buy signal i set a buystop above the high of that bar and have a stoploss of 7.5 pips and a take profit of 10 pips, reverse for sells, i have to use metatrader to trade so i use this as my signals to trade.
Note this is not advice trade at your own risk no guarantees in anything in life, but i wanted to share this for it is helping me with my trades to be more strict and semi mechanical. I use it for forex time frames 1 3 5 15 mjn
J2S Backtest: Steven Primo`s Big Trend StrategyIs it possible to benefit from big trend moves? In this study I present you a strategy that aims to capture big trend moves.
Created by trader Steven Primo, The Big Trend strategy is advocates and shared through his YouTube channel without restrictions.
Note:
This is not an investment recommendation. The purpose of this study is only to share knowledge with the community on TradingView.
What is the purpose of the strategy?
The strategy focuses on capturing the movement of trends, providing an entry signal for both LONG and SHORT positions.
To which time-frame of a chart is it applicable to?
According to the author, it is applicable to any chart in different markets.
What about risk management?
The author does not establish a risk management model for strategy. This is left to the definition of each trader.
How are the trends identified in this strategy?
A 20-periods Bollinger Bands with 0.382 deviation should be plotted on the chart. Prices above the upper band indicate an uptrend, on the other hand, prices below the lower band indicate an downtrend. Finally, prices between the two bands indicate sideways trend.
How to identify a signal for LONG entry?
The signal is given after five consecutive closes above the upper Bollinger band. After that, you must enter the trade after the first trade occurs above the high of the signal bar.
How to identify a signal for SHORT entry?
The signal is given after five consecutive closes below the lower Bollinger band. After that, you must enter the trade after the first trade occurs below the low of the signal bar.
Tips and tricks
In my backtest, I tried to prove the strategy from a position trading perspective, so I proposed use fixed stop-loss and take-profits. The stop-loss is defined as being low of the first bar that generated the movement until the signal bar. The value range from the stop-loss to the signal bar is used in determining the profit target. Given any trade, position closing will be triggered when the bar trading limit is reached.
Backtest features
Backtest parameters are fully customizable, for instance: number of bars inside a trend indicating trend maturity for entry, bar limit for trading entry (after a buy or sell signals). Also, the user chooses to validate only LONG or SHORT entries, or both. It is also possible to determine the specific time period for running the backtests.
Final message
In my tests, I noticed excellent results for other crypto pairs, for example: ETH/USDT, BNB/USDT, FIL/USDT, GALA/USDT and ILV/USDT. Of course, no one strategy works perfectly for every asset, crypto, and bond out there. That's why we should explore each trading model and carry out our backtests. Please, feel free to provide me with any improvement suggestions for the backtest script. Bear in mind, feel free to use the ideas in my script in your studies.
AlphaTrend StrategyThe strategy version of AlphaTrend indicator for backtesting and optimisation purposes for TradingView users:
Screener / Explorer version and an English explantion video will be published soon...
AlphaTrend's parameters are designed for daily and 4H charts, feel free to optimize on all time frames.
Hope you all use Alphatrend in your profitable trades.
Kıvanç
Swing Trend StrategyThis script is a trend following system which uses a long term Moving Average to spot the trend in combination with the Average True Range to filter out Fakeouts, limiting the overall drawdown.
Default Settings and Calculation:
- The trend is detected using the Exponential Moving Average on 200 periods.
- The Average True Range is calculated on 10 periods.
- The Market is considered in an Uptrend when the price closes above the EMA + ATR.
- The Market is considered in a Downtrend when the price closes below the EMA - ATR.
- The strategy will open a LONG position when the market is in an Uptrend.
- The strategy will close its LONG positions when the price closes below the EMA.
- The strategy will open a SHORT position when the market is in a Downtrend.
- The strategy will close its SHORT positions when the price closes above the EMA.
This script is best suited for the 4h timeframe, and shows good results on BTC and ETH especially.
The options allow to modify the type of moving average to use, the period of the moving average, the ATR multiplier to add as well as the possibility to open short trades or not.
Trade HourThis script is just finds the best hour to buy and sell hour in a day by checking chart movements in past
For example if the red line is on the 0.63 on BTC/USDT chart it mean the start of 12AM hour on a day is the best hour to buy (all based on
It's just for 1 hour time-frame but you can test it on other charts.
IMPORTANT: You can change time Zone in strategy settings.to get the real hours as your location timezone
IMPORTANT: Its for now just for BTC/USDT but you can optimize and test for other charts...
IMPORTANT: A green and red background color calculated for show the user the best places of buy and sell (green : positive signal, red: negative signals)
settings :
timezone : We choice a time frame for our indicator as our geo location
source : A source to calculate rate of change for it
Time Period : Time period of ROC indicator
About Calculations:
1- We first get a plot that just showing the present hour as a zigzag plot
2- So we use an indicator ( Rate of change ) to calculate chart movements as positive and negative numbers. I tested ROC is the best indicator but you can test close-open or real indicator or etc as indicator.
3 - for observe effects of all previous data we should indicator_cum that just a full sum of indicator values.
4- now we need to split this effects to hours and find out which hour is the best place to buy and which is the best for sell. Ok we should just calculate multiple of hour*indicator and get complete sum of it so:
5- we will divide this number to indicator_cum : (indicator_mul_hour_cum) / indicator_cum
6- Now we have the best hour to buy! and for best sell we should just reverse the ROC indicator and recalculate the best hour for it!
7- A green and red background color calculated for show the user the best places of buy and sell that dynamically changing with observing green and red plots(green : positive signal, red: negative signals) when green plot on 15 so each day on hour 15 the background of strategy indicator will change to 15 and if its go upper after some days and reached to 16 the background green color will move to 16 dynamically.
Gap Stats v2This helpful analysis tool displays a table of days a stock has gapped, how much it gapped by and what percentage of the gap was covered.
It is meant to be used on the daily timeframe and can help you distinguish if gaps are going to be filled or not. I like to use it mainly on medium + cap stocks
that have gapped overnight or pre-market and see what the tendency is with how it behaves after a major gap.
Strategy - Trend Chaser - PSeTrend Chaser for Philippine Stock Exchange - LONG ONLY
-Elvin Kennedy Latayan 2022
Bollinger Bands and RSI Short Selling (by Coinrule)The Bollinger Bands are among the most famous and widely used indicators. A Bollinger Band is a technical analysis tool defined by a set of trendlines plotted two standard deviations (positively and negatively) away from a simple moving average ( SMA ) of a security's price, but which can be adjusted to user preferences. They can suggest when an asset is oversold or overbought in the short term, thus provide the best time for buying and selling it.
The relative strength index ( RSI ) is a momentum indicator used in technical analysis . RSI measures the speed and magnitude of a security's recent price changes to evaluate overvalued or undervalued conditions in the price of that security. The RSI can do more than point to overbought and oversold securities. It can also indicate securities that may be primed for a trend reversal or corrective pullback in price. It can signal when to buy and sell. Traditionally, an RSI reading of 70 or above indicates an overbought situation. A reading of 30 or below indicates an oversold condition.
The short order is placed on assets that present strong momentum when it's more likely that it is about to decrease further. The rule strategy places and closes the order when the following conditions are met:
ENTRY
The closing price is greater than the upper standard deviation of the Bollinger Bands
The RSI is less than 70
EXIT
The trade is closed in profit when the RSI is less than 70
Upper standard deviation of the Bollinger Band is greater than the the closing price.
This strategy comes with a stop loss and a take profit, and as you can see by the results, it is well suited for a bear market.
This trade works very well with ETH (1h timeframe), AVA (4h timeframe), and SOL (3h timeframe) and is backtested from the 1 December 2021 to capture how this strategy would perform in a bear market.
To make the results more realistic, the strategy assumes each order to trade 30% of the available capital. A trading fee of 0.1% is taken into account. The fee is aligned to the base fee applied on Binance, which is the largest cryptocurrency exchange.
Strategy Myth-Busting #1 - UT Bot+STC+Hull [MYN]This is part of a new series we are calling "Strategy Myth-Busting" where we take open public manual trading strategies and automate them. The goal is to not only validate the authenticity of the claims but to provide an automated version for traders who wish to trade autonomously.
Our first one is an automated version of the " The ULTIMATE Scalping Trading Strategy for 2022 " strategy from " My Trading Journey " who claims to have achieved not only profits but a 98.3% win rate. As you can see from the backtest results below, I was unable to substantiate anything close to that that claim on the same symbol (NVDA), timeframe (5m) with identical instrument settings that " My Trading Journey " was demonstrating with. Strategy Busted.
If you know of or have a strategy you want to see myth-busted or just have an idea for one, please feel free to message me.
This strategy uses a combination of 3 open-source public indicators:
UT Bot Alerts by QuantNomad
STC Indicator - A Better MACD By shayankm
Basic Hull Ma Pack tinkered by InSilico
Trading Rules:
5 min candles
Long
New Buy Signal from UT Bot Alerts Strategy
STC is green and below 25 and rising
Hull Suite is green
Short
New Sell Signal from UT Bot Alerts Strategy
STC is red and above 75 and falling
Hull Suite is red
