Candle Direction Signals with Moving Average Control

Summary

This strategy derives long and exit signals from simple candle relationships. A bullish candle whose open is above the prior close forms a basic buy condition; a bearish candle whose open is below the prior close forms a sell condition. With moving average control enabled, the script combines these candle conditions with a short and long simple moving average: buys can follow a bullish crossover or a qualifying candle while the short average is above the long one, while sell signals can follow a bearish crossover or qualifying bearish candle.

The script also offers a mode that trades the candle conditions without moving average control and lets the user define a backtest date window. The document provides implementation details and input defaults, but no performance evidence, market-specific guidance, or risk controls beyond the stated signal logic. The rules therefore describe a testable signal framework, not a demonstrated trading edge.

Key ideas

• The basic buy and sell signals use candle direction and the open relative to the prior close.
• The moving average mode combines those candle signals with short and long average behavior.
• A separate mode allows entries and exits from candle conditions without moving average control.
• The backtest is restricted to a user-configurable date range.
• The document reports no strategy performance or evidence of profitability.

Tags

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