EMA Crossover Entries Confirmed by a Volume Spike
Summary
This long-only strategy enters when a fast exponential moving average crosses above a slower one and current volume reaches a chosen multiple of its recent average. It closes the long position when the fast average crosses below the slow average while the same volume condition is met. The defaults use 9- and 21-period averages, a 20-period volume average, and a 1.5 multiplier, all of which can be adjusted.
The script also plots VWAP and Bollinger-style bands whose center is an exponential average, with standard deviation defining the outer bands. These lines provide chart context, but they do not participate in the stated entry or exit conditions. The document includes code and alerts, but no backtest results, market or timeframe specification, or risk controls such as stops and position sizing. Consequently, it describes a simple crossover system rather than evidence of a robust or profitable trading method.
Key ideas
- A bullish fast-over-slow EMA crossover triggers a long entry only when volume exceeds its recent average by a configurable factor.
- A bearish crossover closes the long only when the volume filter also passes.
- VWAP and EMA-centered Bollinger-style bands are plotted but do not filter trades.
- The document provides no performance data, stop logic, or position-sizing method.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.