Long-Term RSI Trend Signals with Three-Candle Price Moves

Summary

This strategy combines a 20-period RSI with price changes across recent candles to identify longer-term direction. It describes taking long positions when the price-move condition signals an uptrend and RSI is above 30, and short positions when the move condition signals a downtrend. The text also proposes price breakouts as confirmation, though it does not define that rule in detail.

The published settings show a daily BTC/USDT futures backtest window from September 2022 to September 2023, using hourly base data. No performance results are provided. The description and source do not fully agree: the prose gives three-candle close-change thresholds, while the source applies separate conditions to candle body changes and uses older candles for an additional downside check. The source also gates the short entry with RSI, unlike the prose. RSI lag, simple pattern rules, and the absence of an active stop-loss rule are stated limitations; the listed intraday-loss input is not applied in the source.

Key ideas

• The strategy uses a 20-period RSI as part of its trend assessment.
• Recent candle price changes provide additional direction signals, with different thresholds for upward and downward moves.
• The description calls for long entries in an uptrend when RSI exceeds 30 and short entries in a downtrend.
• The published settings specify a daily BTC/USDT futures test period, but provide no performance results.
• The source and prose differ in their candle calculations, and the source does not implement the listed loss limit.

Tags

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