Intraday EMA Crossovers with RSI Filters and Fixed One-Percent Exits

Summary

This short-term system combines an 8-period and 21-period EMA crossover with a 14-period RSI filter. A bullish crossover can open a long when RSI is below its overbought threshold; a bearish crossover can open a short when RSI is above its oversold threshold. The source sets stop-loss and take-profit orders one percent from the signal close and sizes entries at ten percent of account equity. It also plots signals and defines alerts.

The document includes a BTC-USDT futures backtest configuration spanning about a year on three-hour bars, but gives no backtest performance or trade-level evidence. It notes that crossovers can whipsaw in ranging markets, fixed percentage exits may not fit changing volatility, and gaps can exceed planned stop levels. Suggested refinements include volatility-adjusted exits, trend-strength and session filters, and higher-timeframe confirmation. The stated rules are a testable specification, not evidence that the strategy is profitable or suitable for every intraday market.

Key ideas

• The entry signal pairs an 8/21 EMA crossover with an RSI threshold filter.
• The source places stop and target orders one percent from the signal close and uses ten percent of equity per entry.
• The rules prevent new entries in the same direction while a position is already open.
• The document gives a BTC-USDT futures backtest setup but no reported performance results.
• Choppy conditions, fixed exits, trading costs, and gaps can undermine the approach.

Tags

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