Ichimoku, EMA, and RSI Rules for Trend-Following Trades

Summary

This document describes a trend-following approach combining exponential moving averages, Ichimoku levels, and RSI cross-comparisons. The source code uses 13-, 21-, 89-, and 233-period EMAs, Ichimoku conversion and base lines, displaced cloud spans, and a lagging close reference. A long entry requires the shorter RSI to exceed the longer RSI, the close to exceed the lagging reference, and the 13-period EMA to be above the Ichimoku base line. The short rule reverses these comparisons; exits require opposing RSI and price conditions. The published configuration uses daily BTC-USDT Binance futures bars over about a year.

The accompanying prose characterizes the system as a stock trend strategy and discusses moving-average and cloud breakouts, but the code’s actual entry conditions are more specific and do not directly test all of those described crossovers. No backtest performance results are included. The document flags reversal risk, potentially high trading frequency, and parameter sensitivity, and notes that the source has no explicit stop-loss or profit target. Fees, slippage, and out-of-sample validation are also not reported, so the strategy’s effectiveness cannot be concluded from the description.

Key ideas

• The code combines EMA positioning, Ichimoku references, and relative RSI strength to define long and short entries.
• Positions close when RSI and price conditions turn against the open direction.
• The published configuration uses daily BTC-USDT Binance futures data over approximately one year.
• The source contains no explicit stop-loss or profit target, and the document reports no performance results.
• The prose and code do not describe entry logic in exactly the same way, so the implemented rules should be distinguished from the overview.

Tags

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