Double EMA and Range-Filter Signals with Stops on Crypto Perpetuals

Summary

The article reconstructs a trend-following strategy that combines fast and slow exponential moving averages with a range-filter indicator. Long entries require a bullish range-filter signal, the fast EMA above the slow EMA, and a positive candle closing above the fast average; short entries use the inverse conditions. It adds a fixed-distance stop loss and a trailing exit, since the source video did not specify risk controls.

The author describes backtests on Binance ETH/USDT and BTC/USDT perpetual contracts using 15-minute bars, with EMA periods drawn from the video and stop settings chosen subjectively. Results are described as mixed for ETH and profitable for BTC, while the text provides no detailed performance statistics or robustness analysis. It cautions that stop settings affect results and that backtests do not establish live performance. The strategy is presented as a replication and starting point for further testing, not evidence of a reliable edge.

Key ideas

• The strategy combines EMA trend alignment with a range-filter reversal signal for entries.
• Long and short entries also require candle direction and a close beyond the fast EMA.
• A fixed stop loss and trailing exit are added because the source strategy omitted exit rules.
• The reported backtests cover ETH and BTC perpetual contracts, but provide limited evidence of robustness.
• The author warns that parameter choices affect results and backtests do not establish live profitability.

Tags

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