EMA Trend Filtering and Impulse MACD Reversal Signals
Summary
This BTC futures strategy combines a 200-day EMA trend filter with an Impulse MACD signal. It calculates the oscillator from smoothed highs, lows, and the median of high, low, and close, then smooths that value into a signal line. Long entries require price above the long-term EMA and a bullish oscillator crossover while both oscillator values are negative; short entries apply the inverse conditions below the EMA. The script also places stops at recent lows or highs and sets profit targets at a multiple of the distance to those levels.
The document describes the method and its adjustable periods, and supplies a published backtest configuration spanning roughly one year. It does not report performance results, so the configuration alone is not evidence of profitability. The notes flag lag between timeframes, false signals during strong moves, and sensitivity to stop placement and indicator settings. They suggest realistic fee modeling, position sizing, filters, walk-forward analysis, and testing across products; those steps are not demonstrated in the material.
Key ideas
- A 200-day EMA is used to define the broad trend direction.
- Impulse MACD crossovers trigger entries only when the oscillator is on the matching side of zero and price aligns with the EMA filter.
- Recent price extremes provide stop levels, while targets are set using a multiple of the stop distance.
- The document gives a BTC futures backtest setup but no performance statistics.
- Parameter sensitivity, whipsaws, and transaction costs remain important limitations.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.