SMA and EMA Crossovers with MACD Confirmation and a Time Filter

Summary

This short-term trading system combines a three-period simple moving average crossover with a ten-period exponential moving average, MACD confirmation, candle direction, and a restricted trading window. Long entries require the short average to cross above the longer average, MACD to be above its signal line, and a bullish candle; short entries use the opposite conditions. The stated window is 9–10 p.m. Colombian time, and the described risk settings use a 15-pip stop and a 30-pip target. A code comment refers instead to recent ZigZag highs or lows as possible stop references.

The document explains that layered filters may reduce weak signals, but it provides no reported backtest results. Its published configuration uses daily ETH/USDT futures data over roughly one year, which does not by itself validate the method or clarify how the narrow intraday time condition behaves on that timeframe. The discussion flags whipsaws in sideways markets, missed entries from requiring several confirmations, and the mismatch between fixed pip distances and changing volatility. It suggests testing longer periods and adapting stops, time filters, and volatility checks.

Key ideas

• Long and short entries depend on SMA and EMA crossovers confirmed by MACD and candle direction.
• The system restricts entries to a stated one-hour window in Colombian time.
• The described stop and target settings are 15 and 30 pips, respectively.
• No performance results are reported, and the daily backtest configuration does not establish the strategy’s effectiveness.
• Sideways price action and fixed pip distances are identified as key limitations.

Tags

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