Combining Hull, Volume-Weighted, and Weighted Moving Averages

Summary

This open-source strategy combines a double Hull-style moving average with a volume-weighted moving average and a base weighted moving average. It also plots the moving average crossover states. The script opens a long when the Hull-derived line is above its comparison line, below the base weighted average, and above the volume-weighted average; the short condition reverses those relationships. Exit conditions use their own combinations of the same lines. The source includes configurable periods, with defaults of 3 for the Hull and volume-weighted inputs and 75 for the base weighted average.

The accompanying page says the creator developed it on a four-hour NZDUSD chart, but provides no verified performance results or broader testing evidence. A commenter warns that recalculating after an order fills can introduce lookahead bias, a useful caution when evaluating the script’s settings. The rules depend on price-derived averages and may behave differently across instruments and timeframes. The page offers little analysis of risk controls, transaction costs, or robustness, so independent testing is needed before drawing conclusions.

Key ideas

• The strategy combines a double Hull-style moving average, a volume-weighted moving average, and a weighted moving average.
• Long and short entries require a specific alignment of the Hull-derived line with both weighted averages.
• The default periods are 3 for two inputs and 75 for the base weighted average.
• The creator reports developing it on a four-hour NZDUSD chart, without supplying performance evidence.
• Recalculating after an order fills can create lookahead bias and distort backtest results.

Tags

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