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EMA Crossover Trend Strategy with Trailing Stops

Article Strategy library · Author: ianzeng123

Summary

This strategy uses moving-average relationships to trade both directions. It describes a 13-period EMA crossing a 33-period EMA as the long or short entry signal, with a 13-period EMA crossing back below the 33-period EMA to exit longs and rising above a 25-period EMA to exit shorts. The document also describes trailing stops based on the current bar’s high for longs and low for shorts, and includes 100- and 200-period simple moving averages as longer-term context. The source sizes entries at a stated percentage of account equity.

The discussion highlights whipsaw risk in sideways markets, sensitivity to moving-average and stop parameters, and possible filters such as volume, volatility, or longer-term trend conditions. It gives published backtest settings for ETH/USDT futures but no performance results. The source’s entry conditions are persistent comparisons rather than crossover events, so entries may be submitted repeatedly as conditions remain true. It also does not apply the long-term simple averages as filters, despite the prose suggesting they can help screen signals. Treat the described rules and the implementation as potentially different.

Key ideas

  • The stated entries use the relationship between 13- and 33-period exponential moving averages.
  • Long and short exits use different moving-average conditions.
  • Trailing stops are described using the current bar’s high or low and a fixed distance.
  • The article identifies sideways-market whipsaws and parameter sensitivity as key risks.
  • The source contains no reported performance and does not use its long-term simple averages as filters.

Tags

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