Three-Moving-Average Crossover Strategy with Optional Filters

Summary

This document describes a medium-term momentum approach using a fast exponential moving average, a slower simple moving average, and a longer simple moving average to identify trend direction. The default trend ordering is fast above slow above long for bullish conditions, and the reverse for bearish conditions. Configurable crossover choices determine entries and exits, with optional volume, volatility, RSI, stop-loss, take-profit, and trailing-stop settings.

The source and published settings provide implementation details, including a BTC/USDT futures backtest configuration, but the document reports no performance results. Moving averages lag, and crossovers can generate repeated false signals in choppy markets; results also depend on parameter choices and enabled filters. The source includes configurable controls rather than evidence that any particular settings are profitable. Traders would need to test costs, execution assumptions, and robustness across market regimes before drawing conclusions.

Key ideas

• The strategy uses EMA and SMA relationships to define bullish or bearish trend structure.
• Entry and exit signals can be selected from crossovers among the fast, slow, and trend averages.
• Optional volume, ATR, and RSI filters can restrict entries or exits.
• Stop-loss, take-profit, and trailing-stop controls are configurable.
• Lagging signals, whipsaws, and parameter sensitivity are key limitations.

Tags

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