Short-Only Moving Average Crossovers with Slope and Session Filters
Summary
This script describes a short-only strategy built around a fast and slow moving average, each configurable as an EMA, SMA, or WMA. It opens a short position when the fast average crosses below the slow average, provided both averages have sufficiently negative slopes over a chosen lookback and the signal falls within the configured intraday session.
A short is closed when the averages cross upward, or optionally when the session ends. The script plots the averages and can shade the chart according to their relative position. It provides configurable rules and execution logic, but no performance evidence or market-specific validation. The slope thresholds use price units, so their meaning depends on the instrument and its price scale; the code also does not show a stop loss or position-sizing method.
Key ideas
- The strategy enters short when the fast moving average crosses below the slow moving average.
- A configurable slope filter requires both averages to be falling beyond set thresholds.
- An optional session filter restricts entries to the specified intraday window.
- Short positions exit on an upward moving-average crossover or, optionally, at the end of the session.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.