EMA and ADX Trend Entries with Rolling High and Low Targets

Summary

This strategy combines a 20-period exponential moving average with an ADX strength filter and recent price extremes. It looks for price to cross the EMA while the average is sloping in the trade direction, and requires ADX to exceed 30. For a long setup, the target is the highest high over the recent 20 periods and the stop is based on the lowest low since price was below the EMA; the short setup reverses those rules. The source submits stop-entry orders and attaches target and stop exits, with the stop intended to trail as the relevant extreme changes.

Published test settings cover BTC_USDT futures on Binance from late December 2023 to early January 2024, using five-minute candles and one-minute base data. No results are supplied, and the prose's broad claims about performance are not substantiated here. The document warns that choppy conditions can cause repeated stop-outs, while overly wide or tight stops create different risks. Its strategy label mentions oscillation tracking, but the described ADX filter instead restricts entries to stronger trends.

Key ideas

• The entry logic combines a 20-period EMA direction with an ADX threshold of 30.
• Long and short setups use recent 20-period highs or lows as profit targets and post-EMA-cross price extremes as stops.
• The source uses stop-entry orders and updates exit levels from rolling price extremes.
• The BTC_USDT futures test settings cover about one week, with five-minute candles and one-minute base data, but give no results.
• Choppy price action and stop placement are key risks identified by the document.

Tags

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