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Trend and Reversal Filters with TEMA, LSMA, and ATR Exits

Article Strategy library · Author: AHTISHAM_EE
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Summary

This script outlines a configurable chart strategy built around TEMA and LSMA, with an EMA trend filter and ATR-based stop and target distances. Its inputs also indicate trend-strength and exhaustion checks, momentum divergence, volume confirmation, and a time limit for holding a trade. A separate reversal component uses KAMA, ADX, RSI, Williams %R, higher-timeframe data, and recent liquidity zones. The visible portion therefore describes a multi-filter approach intended to combine trend participation with reversal trades.

The source excerpt is incomplete: it ends partway through an input declaration and does not show the full signal rules, execution logic, or strategy report. It gives parameter ranges and settings but no market, timeframe, backtest results, or evidence of profitability. The institutional framing in the title is not supported by the displayed material. Any interpretation of how the filters interact, and whether they improve results, would require the complete script and independent testing.

Key ideas

  • The visible inputs combine TEMA, LSMA, and an EMA trend filter.
  • The strategy includes ATR-based stop and target multipliers and a maximum trade duration.
  • Trend filters include exhaustion, momentum divergence, trend alignment, and trend strength.
  • A distinct reversal module references KAMA, ADX, RSI, Williams %R, and liquidity zones.
  • The excerpt is truncated and provides no complete rules or performance evidence.

Tags

Technical indicatorsTrend followingMean reversionVolatilityRisk management

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