A Long-Only DAX Four-Hour Strategy Using RSI, SMA, and PSAR

Summary

This community post describes a semi-swing strategy for the DAX on a four-hour chart, taking long trades only and aiming to capture brief trends. Entry requires a six-period RSI to cross above 60 while the close is above a 25-period simple moving average. The author uses a nonstandard parabolic SAR configuration and constructs smoothed, candle-like open, high, low, and close values to define an exit condition. A long position exits when that candle condition or a PSAR crossover is met; the rules also specify a fixed stop loss and position size.

The post says a walk-forward test using 100,000 bars is attached, but the supplied text gives no performance statistics or test design details. It is therefore a strategy outline rather than enough evidence to assess profitability, robustness, transaction costs, or the effect of the unusual candle condition. The described rules are long-only and tailored to the stated instrument and timeframe.

Key ideas

• The setup targets long-only, brief trends in the DAX on a four-hour chart.
• Entry combines an RSI cross above 60 with price above a 25-period simple moving average.
• Exit logic uses a custom candle condition or a parabolic SAR crossover.
• The rules specify a fixed stop loss and a position size.
• A walk-forward test is mentioned, but the provided text contains no results or methodological detail.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.