Supertrend Entries with ATR Trailing Stops and Indicator Filters

Summary

This strategy uses a Supertrend style indicator built from pivot points and average true range to classify the market direction. It opens long positions when price is above the trailing line and a simple moving average, with an ADX condition and an RSI threshold; it closes the long when price falls below the trailing line. Although the overview describes buying and selling in both directions, the included code enters long positions and closes them, without placing short entries.

The document explains the intended role of the trailing stop and the ADX and RSI filters, and discusses parameter sensitivity, missed signals, and incorrect trend readings. It proposes testing alternative trend indicators, adaptive settings, and position sizing based on stop distance. The published settings identify a BTC/USDT futures backtest period, but no performance figures or analysis are provided. The listed date inputs also differ from the published backtest range, so the document does not establish how its stated results would generalize across markets or periods.

Key ideas

• The trend signal uses a pivot and ATR based trailing line to distinguish upward from downward conditions.
• The described long entry requires price above the trailing line and moving average, plus an ADX and RSI filter.
• The source code closes long positions below the trailing line but does not implement short entries.
• The document provides backtest settings without performance results and notes sensitivity to indicator parameters.

Tags

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