BTC/USD Long-Only Trend Strategy with Multi-Signal Entries and Trailing Exits
Summary
This BTC/USD strategy is designed for four-hour charts and takes long positions when several trend conditions align. It combines smoothed fast, medium, and slow exponential moving averages with slope, separation, momentum persistence, path efficiency, volatility, and breakout measures. A weighted score gates three entry setups: trend continuation, pullback and reclaim, or a recently formed trend. Position size is based on equity multiplied by a configurable leverage input.
Exits combine a fixed percentage stop, an ATR-based trailing stop with a profit-lock component, and signals for weakening trend structure, momentum, or volatility. The rules also impose a one-bar minimum hold, a cooldown after closing, and a Friday close intended to avoid weekend exposure. The document provides source code and the author’s description, but no backtest results or performance evidence. Its thresholds and risk settings are configurable, and the suggested leverage is not evidence of suitability; results may depend on market, execution, and parameter choices.
Key ideas
- The strategy enters long only when trend, momentum, efficiency, volatility, or breakout evidence produces a sufficient score and one of three entry patterns is present.
- It uses smoothed moving averages and multiple measures to distinguish stronger trends from weaker conditions.
- Position value scales with account equity and a user-set leverage factor.
- Risk exits combine a hard percentage stop, a rising ATR-based trail, and conditions indicating trend deterioration.
- A minimum holding bar, post-exit cooldown, and scheduled Friday close shape trade timing.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.