MACD and SMA Trend Entries with ATR-Based Stop-Entry Levels

Summary

This strategy combines a simple moving average trend filter, MACD confirmation, and an ATR-derived distance. A long condition occurs when price crosses above the SMA and the MACD line is above its signal line; a short condition mirrors this below the SMA. The source submits stop-entry orders at the current close shifted by the ATR distance. It does not show a separate protective stop exit, although the prose describes ATR stop management. The distinction matters when interpreting the implementation.

The published settings describe a BTC/USDT Binance futures test over a stated date range, but no results are included. The document recommends tuning the ATR, SMA, and MACD parameters and mentions other filters and trailing stops as possible extensions. It also acknowledges false signals and losses around reversals. Since there is no reported evidence of performance and the code’s stop-entry logic differs from the prose’s description of an ATR stop, this is best treated as a proposed trend-following rule set requiring careful implementation review.

Key ideas

• The long setup combines a close crossing above the SMA with MACD line strength over its signal line.
• The short setup mirrors the long condition below the SMA.
• The source uses ATR distance to place stop-entry orders beyond the current close.
• The prose describes ATR stop management, but the code does not show a separate protective stop exit.
• The backtest configuration is provided without performance results.

Tags

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