Golden-Cross Momentum Strategy with RSI and Trailing Stops

Summary

This long-only strategy combines a 50-period exponential moving average, a 200-period simple moving average, a 21-period exponential moving average, RSI, and price momentum. It enters when the fast average is above the slow average, price is above the trend average, RSI is below a configurable cap, and a composite signal score meets its minimum. The score rewards bullish average alignment, RSI below 65, momentum more than 5% above the slow average, and price above the trend average.

A position exits when the fast average falls below the slow average or through a trailing stop, configured with an 8% distance and 1% offset by default. The script specifies position sizing as 18% of equity and a 0.1% commission assumption. It names energy-related equities as intended examples, but supplies no strategy report metrics or evidence of profitability. Results may depend heavily on asset, timeframe, costs, and parameter choices; the code should be evaluated with realistic testing before use.

Key ideas

• The entry logic requires a bullish fast-versus-slow moving-average regime and price above a shorter trend average.
• RSI and distance above the slow average contribute to a signal-strength score.
• The strategy opens long positions only when its filters and minimum score agree.
• Exits occur on a bearish moving-average regime or a percentage trailing stop.
• The document provides settings and intended example equities but no performance evidence.

Tags

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