Long-Only KST Momentum Strategy with Trend and ATR Filters

Summary

This strategy enters long when the Know Sure Thing momentum line crosses above its signal line, while price is above both a configurable long-term moving average and the Williams Alligator jaw. An optional Choppiness Index filter blocks entries when the market is considered too range-bound. Users can adjust the KST rate-of-change and smoothing lengths, moving-average type and length, choppiness threshold, and trading date window.

At entry, the script sets stop and target distances using multiples of the 14-period ATR, anchored respectively below the signal bar's low and above its close. It closes the trade when a later bar reaches either level. The document explains the indicator rationale and configurable mechanics, but offers no backtest results or comparative evidence for the claimed setup quality. Performance may depend on bar execution assumptions, costs, parameter choices, and the market; the strategy only takes long trades.

Key ideas

• A KST crossover triggers a possible long entry when price also clears trend filters.
• The trend filters combine a configurable moving average with the Alligator jaw.
• An optional Choppiness Index condition avoids entries above a selected threshold.
• Stop loss and take profit distances are set from ATR multiples at entry.
• The strategy is long-only, and the document gives no performance results.

Tags

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