Trend Breakouts with Moving Averages, Laguerre RSI, and ADX

Summary

This strategy combines a moving average ribbon, Laguerre RSI, and ADX to trade in the direction of an emerging trend. It enters long when the averages are aligned upward, Laguerre RSI is above 80, and ADX exceeds 20; short entries use the opposite alignment, RSI below 20, and the same ADX filter. Exits use a recross of the fast and slow EMAs unless fixed stop and target orders are enabled. The listed defaults are a 16-period fast EMA, 48-period slow EMA, and 200-period SMA.

The document explains the indicators and suggests stop losses, parameter tuning, and futures hedging as risk controls. It provides parameter settings and a one-week, one-minute BTC-USDT futures backtest configuration, but no performance results. The prose describes the averages as crossovers, while the source requires the three averages to be ordered; this distinction can affect signals. Claims of capturing large trend gains are not supported with reported evidence, and the strategy itself warns of whipsaws, drawdowns, and market-specific parameter risk.

Key ideas

• The strategy combines three moving averages to establish directional alignment.
• Laguerre RSI thresholds provide entry confirmation, while ADX filters for trending conditions.
• EMA recrosses close positions unless fixed stop loss and profit target orders are enabled.
• The document provides settings and a short backtest configuration but reports no measured performance.

Tags

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