Combining RSI, Stochastic, and Awesome Oscillator Signals with ATR Exits

Summary

This educational example combines three indicators to define entry conditions. It goes long when the Stochastic reading and RSI are both in oversold territory and the Awesome Oscillator is rising; it goes short when both readings are overbought and the oscillator is falling. ATR sets the stop and target distances, with the example placing the stop beyond the signal bar's low or high and the target one ATR from the close.

The document describes configurable oscillator lengths, RSI source and length, and ATR length, and gives a BTC/USDT futures backtest interval and bar settings. It provides no performance statistics and explicitly frames the strategy as a coding exercise rather than a basis for trading decisions. The rules are illustrative; the text offers no evidence that the indicator combination is profitable or robust across markets or timeframes.

Key ideas

• Long entries require oversold Stochastic and RSI readings plus a rising Awesome Oscillator.
• Short entries require overbought readings plus a falling Awesome Oscillator.
• ATR determines stop and target placement relative to the signal bar and close.
• The example is presented for learning Pine Script, not as a validated trading system.
• Backtest settings are provided without reported performance results.

Tags

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