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Converging RSI, MACD, TD Sequential, and Bollinger Band Signals

Article Strategy library · Author: ChaoZhang

Summary

This strategy combines RSI, MACD, a simplified TD Sequential count, and Bollinger Bands to seek directional setups. RSI uses a threshold around 50, five consecutive MACD histogram bars of one sign and two consecutive TD count bars provide directional checks, and Bollinger Bands act as a filter. Trades are opened only when the RSI, MACD, and TD conditions agree and the relevant band condition does not block the signal. Profit and loss exits are configurable, with stop-loss use optional.

The document argues that agreement among indicators can reduce false signals, while noting that such conjunctions may make trades infrequent and require parameter tuning. It provides BTC/USDT futures backtest settings spanning roughly a year, but no performance figures or other empirical evidence. The stated descriptions of indicator direction and Bollinger filtering do not align cleanly with all conditions in the supplied code, so the actual signal behavior should be checked before interpreting or reproducing the strategy.

Key ideas

  • The strategy requires agreement among RSI, MACD, and TD count signals before opening a position.
  • Five consecutive MACD histogram bars and two consecutive TD count bars are used as confirmation conditions.
  • Bollinger Bands filter signals, while profit targets and optional stop-losses govern exits.
  • The document warns that strict signal agreement can reduce trade frequency and that parameters need testing.
  • Backtest settings are provided without results, and some written signal descriptions differ from the supplied logic.

Tags

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