Filtered Moving Average Trend Following with Williams %R

Summary

This document outlines a mainly long-side trend-following system using a 100-period simple moving average, a 200-period exponential average, a Hull moving average trend check, and Williams %R. The stated entry rules also require improving Williams %R readings, a bullish candle, and a limit on the prior candle's range. Exits occur when price falls below the moving averages or Williams %R drops below its lower threshold. The design includes a swing lookback and daily range tracking, though their role in the prose is unclear.

Example backtest settings use 30-minute TRB_USDT data over January 2025, but no performance figures are given. The supplied implementation does not cleanly match the description: its plotted second average is a smoothed SMA rather than an EMA, and its buy condition includes an alternative branch that bypasses several stated filters. The approach may whipsaw in sideways markets, while stringent filters may miss moves; fixed parameters and optimization also carry overfitting risks.

Key ideas

• The stated system combines long-term moving averages, an HMA trend check, and Williams %R.
• The narrative requires improving Williams %R, a bullish candle, and a run-up filter for entry.
• Exits are triggered by price falling below the averages or Williams %R moving below its lower threshold.
• The supplied code differs from the prose in its average calculation and entry logic.
• No performance statistics are provided for the stated TRB_USDT backtest period.

Tags

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