OBV-SMA Momentum Crossovers Filtered by RSI

Summary

This strategy combines On-Balance Volume, its simple moving average, and RSI to generate directional trades. A cross above the OBV average triggers a long when RSI is below the stated upper threshold; a cross below triggers a short when RSI is above the stated lower threshold. The RSI conditions aim to screen out entries at more extreme readings. The described setup also attaches fixed percentage stop-loss and take-profit levels to positions.

The document gives indicator settings and a daily BTC/USDT futures backtest configuration spanning several years, but reports no returns, drawdowns, or other measured results. Its discussion therefore describes a rule set rather than evidence of an effective strategy. It identifies possible weaknesses in volatile or illiquid markets, including repeated stops, misleading volume signals, and missed trend starts. Suggested extensions include volatility-adjusted exits, longer-term trend filters, volume screening, time filters, and dynamic position management.

Key ideas

• OBV crossing its simple moving average supplies the primary long and short signals.
• RSI thresholds filter entries when momentum readings are near more extreme levels.
• The described rules use fixed percentage stop-loss and take-profit exits.
• The document supplies backtest settings but no performance results.
• Volatility, low liquidity, and RSI filtering can weaken or delay the signals.

Tags

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