PSAR Crossovers with EMA and RSI Filters and ATR Stops

Summary

This short-term strategy uses price crossing the Parabolic SAR (PSAR) to signal entries, filtered by a 50-period EMA and RSI thresholds. Long entries require price above the EMA and RSI above 40; short entries require price below the EMA and RSI below 60. It calculates stop levels from ATR multiplied by a configurable factor and sets a fixed take-profit target of 0.7%. A position check is intended to prevent additional entries while a trade is open.

The document provides BTC/USDT futures backtest settings spanning roughly a year, but reports no returns, drawdown, trade count, or other results. It flags missed opportunities from the filters, premature exits from the fixed target, sensitivity to indicator settings, and transaction costs from frequent trading. The source also calculates the stop and target from the current close on each bar, which may cause exit levels to move rather than remain fixed from entry; the actual behavior should be verified in the backtesting platform. The stated suitability for volatile markets is not demonstrated with performance evidence.

Key ideas

• PSAR price crossovers generate candidate entries, while the EMA and RSI filters constrain direction and conditions.
• ATR sets a volatility-scaled stop distance, while the profit target remains fixed at 0.7%.
• The position check is designed to block new entries while an existing position is open.
• The published settings identify a BTC/USDT futures test interval but include no performance statistics.
• Because exit levels are calculated from the current close in the source, they may shift over time rather than stay fixed at entry.

Tags

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