Daily Percentage-Move Signals with a Fixed Holding Period

Summary

Despite the title and overview discussing moving-average crossovers, the published source does not calculate or compare moving averages. Instead, it checks whether the current close has risen or fallen from the previous close by at least a user-set percentage. Separate settings choose the direction of that price move and whether the resulting trade is long or short. The defaults select an upward move, a long trade, a 4.5% threshold, and a four-day holding period.

The script marks the signal day and following days on the chart, enters when the selected move condition occurs, and closes after the configured number of days since the signal. The article calls this an automatic stop loss, but the code implements a timed close rather than a price-based stop. Backtest settings identify BTC/USDT futures data over part of 2023; no performance results are provided. A single threshold and holding rule do not address transaction costs, repeated signals, or abrupt market changes, so the stated rationale and risk claims should not be treated as demonstrated results.

Key ideas

• The source signals on a close-to-close percentage move rather than a moving-average crossover.
• Inputs select upward or downward price movement, long or short direction, a move threshold, and a holding duration.
• The strategy exits after a set number of days, which is a time-based exit rather than a price stop loss.
• The published BTC/USDT futures backtest settings do not include reported performance results.

Tags

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