Trend Entries Using DEMA, Bollinger Bands, and Swing Patterns

Summary

CoensioTrader1 is a multi-currency automated trading system that identifies direction with a daily double exponential moving average (DEMA). It treats three consecutive daily DEMA readings pointing the same way as a trend, then seeks entries in that direction. Long entries require a bullish trend, price returning from below the lower Bollinger Band, and a swing-low sequence; short entries use the bearish equivalent, a move from above the upper band, and a swing-high sequence.

The system also describes timer-based control for multi-currency backtests, configurable trailing stops, fixed or balance- and risk-based position sizing, and both price-level and equity-based profit taking. A table reports historical backtest rankings, including profit factors, drawdowns, and trade counts. These figures are presented without the underlying test reports or enough detail to assess data quality, costs, parameter selection, or out-of-sample performance. The reported results therefore do not establish that the strategy will remain profitable in live trading.

Key ideas

• The system uses daily DEMA direction to identify trends and requires three consecutive readings to agree.
• Long and short entries combine Bollinger Band movement with swing-low or swing-high price patterns.
• Risk controls include trailing stops and several configurable position-sizing approaches.
• Profit taking can use price targets or account equity.
• The reported backtests lack enough methodological detail to establish robustness or live performance.

Tags

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