Dual EMA Crossovers with Fixed Percentage Exits

Summary

This strategy uses a fast and a slow exponential moving average to generate directional entries. With the published defaults, the fast EMA has 25 periods and the slow EMA has 50: an upward crossover triggers a long, while a downward crossover can trigger a short if short trading is enabled. The document describes a two percent take-profit and a two percent stop-loss from entry for each direction. The source also includes alert fields for automated execution and specifies commission and slippage assumptions in its strategy settings.

The crossover is intended to follow medium-term trends, but the document reports no measured results. Its published BTC/USDT futures configuration covers a short period, which cannot establish performance across regimes. EMA signals can lag or whipsaw in volatile or range-bound markets, and transaction costs can change results. The short-side control is disabled by default in the source, despite the general explanation covering both directions. The suggested research directions include testing EMA periods and exit rules and evaluating the impact of other filters.

Key ideas

• The strategy enters long when the fast EMA crosses above the slow EMA.
• A downward crossover can open a short when short trading is enabled.
• The defaults use 25- and 50-period EMAs with two percent profit and loss exits.
• The source includes commission and slippage assumptions, but reports no performance results.
• The short-side setting is disabled by default in the published source.

Tags

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