EMA Crossover and Parabolic SAR Trend Strategy with Timed Exit
Summary
This strategy combines a short and long exponential moving average with Parabolic SAR to define directional entries and exits. It enters long when the faster average crosses above the slower one and the close is above SAR; the inverse crossover with price below SAR triggers a short. Positions close when price crosses the SAR level, and the rules also specify a fixed stop distance and a daily forced close at 15:15.
The document includes adjustable indicator parameters and published backtest settings for BTC-USDT futures over a short historical period, but reports no performance metrics or results. It warns that crossovers and SAR can produce false signals, fixed stops may fit volatility poorly, and choppy conditions can increase turnover and costs. The stated timed exit and stop behavior should be evaluated in a realistic backtest, including execution costs and how the rules behave across different markets and trading sessions.
Key ideas
- Long entries require an upward EMA crossover and a close above Parabolic SAR.
- Short entries require a downward EMA crossover and a close below Parabolic SAR.
- SAR reversals, a fixed stop distance, and a daily timed close define exits.
- The document supplies backtest settings but no measured performance results.
- Choppy markets and volatility may make signals and stop placement unreliable.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.