Three Moving Averages and Minimum Separation for Trade Signals

Summary

The document describes an expert advisor that uses three moving averages with ascending periods of 5, 25, and 125. It checks that the periods remain in ascending order and looks for the averages to align from highest to lowest, or lowest to highest. A signal is conditioned on the averages being at least a specified minimum distance apart, so alignment alone is not sufficient. The excerpt says this distance is configurable but does not specify the signal’s exact entry or exit rules.

Users can set trade volume and cap the number of open positions; a cap of one is mentioned as an option for netting accounts. The document refers to a single EURCAD hourly test covering June 2017 through April 2018, but gives no performance metrics, chart, or detailed testing assumptions. This limited example cannot establish whether the method is profitable or robust across pairs, market regimes, or execution conditions.

Key ideas

• The expert advisor compares three moving averages with periods of 5, 25, and 125.
• It requires the moving averages to align in order and meet a minimum separation threshold.
• The position limit and trade volume are configurable.
• The excerpt mentions an hourly EURCAD test but provides no performance results or detailed test methodology.

Tags

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