Multi-EMA Trend and Momentum Strategy with Fixed Risk Controls

Summary

This short-term strategy combines EMA alignment, RSI, a custom smoothed trend-strength calculation, volume, and price confirmation. It takes long positions when EMA20 is above EMA50 and EMA200, RSI exceeds 55, the trend-strength reading exceeds 25, volume is more than 1.5 times its 20-period average, and price is above EMA20; short entries use the reverse conditions. The stated chart interval is five minutes, with 20-fold leverage. Exits use a 1.5% take-profit and a 0.75% stop relative to entry, which the document equates to roughly 30% target and 15% risk at that leverage.

The document gives DOGE/USDT futures backtest settings over a stated date range, but supplies no performance results. It cautions that leverage magnifies losses, short intervals are noisy, fixed exits do not adjust to volatility, and the unusually smoothed trend-strength calculation may lag. It suggests ATR-based exits, higher-timeframe confirmation, and more refined position management.

Key ideas

• Long and short entries require aligned EMAs, directional RSI, strong trend readings, elevated volume, and price confirmation.
• The described exits use a 1.5% target and a 0.75% stop from entry.
• The strategy is presented for a five-minute timeframe and 20-fold leverage.
• The document lists futures backtest settings but does not report performance results.
• Leverage, short-term noise, fixed exits, and indicator lag are stated limitations.

Tags

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