Trend Entries with EMA Alignment, RSI, and MACD Confirmation
Summary
This trend strategy combines three EMAs with RSI and MACD to filter entries. A long setup requires price to cross above the 50-period EMA, the 50, 100, and 200-period EMAs to be ordered upward, RSI to sit between 50 and 70, and MACD to be above its signal line. A short setup applies the reverse EMA ordering and price cross, with RSI between 30 and 50 and MACD below its signal line.
Bollinger Bands are calculated and plotted as a volatility reference, but the stated entry rules do not use them. The source enters long or short when conditions hold and specifies no stop loss or take profit. The document provides parameter defaults and settings for a two-day BNB/USDT futures backtest over about a year, but no performance statistics. It cautions that multiple filters may delay signals, fixed parameters may not suit different conditions, and range-bound markets can still produce poor trades. Suggested extensions include adaptive settings, volatility filters, and explicit exits.
Key ideas
- The strategy requires price to cross the 50-period EMA in the direction of the 50, 100, and 200-period EMA alignment.
- RSI ranges and MACD relative to its signal line provide momentum confirmation for entries.
- Bollinger Bands are plotted but are not part of the specified entry conditions.
- The source has no explicit stop-loss or take-profit rule, and no backtest results are reported.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.