Trend Signals from Averaged Hull and T3 Moving Averages

Summary

This strategy averages a Hull Moving Average and a T3 moving average to create a directional signal. A rising average triggers a long entry, while a falling average triggers a short entry. The description proposes exiting when the average changes direction or when a profit target or stop is reached, with separate target and stop inputs for each side. It presents the method as adaptable across markets and trading horizons through changes to the moving-average length and exit settings.

The document explains the intended benefits of smoothing price noise while retaining responsiveness, but notes that moving-average signals can lag and repeatedly reverse in sideways markets. It gives configurable settings and a one-month BTC-USDT futures backtest interval, but reports no measured returns, drawdown, or benchmark. The code enters according to the average's direction on every qualifying bar and does not visibly apply the date inputs as a filter, so the implementation details do not fully support all described controls. Results would need independent testing across market regimes and instruments.

Key ideas

• The signal line is the average of Hull and T3 moving averages.
• A rising signal line indicates long bias, while a falling line indicates short bias.
• Profit targets and stop levels are configurable separately for long and short trades.
• Moving-average signals can lag and whipsaw in sideways markets.
• The document provides a short backtest setup but no quantitative performance evidence.

Tags

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