Triple EMA Trend Filters for Pullback Entries

Summary

This pullback strategy uses 25-, 50-, and 100-period EMAs to define trend direction. It requires the averages to be ordered and, by default, sloping in the same direction; an optional spacing filter compares gaps between them with ATR. A qualifying pullback touches the fast or middle EMA while price remains on the trend side of the slow EMA. An entry follows within a 15-bar window when the full confirmation candle is beyond the fast EMA.

The source implements entries only and has no built-in take-profit or stop-loss orders. The accompanying text recommends adding separate risk controls and notes that the setup may wait for clear trends, with fewer signals in sideways markets. It cites backtest observations about pullback timing and makes claims about avoiding false signals, but supplies no performance statistics or supporting comparisons. The published backtest uses daily ETH futures data over a limited period, so it does not establish how the rules perform across markets, timeframes, or costs. The stated position size and commission are configuration assumptions, not evidence of profitability.

Key ideas

• EMA ordering, slope, and optional ATR-based spacing define eligible trend conditions.
• A pullback must touch a faster EMA while remaining beyond the 100-period EMA.
• The entry requires a fully confirmed candle beyond the 25-period EMA within the configured window.
• The source contains no exit rules, so separate stop and target management is necessary.
• The reported backtest context lacks performance results to assess the strategy's effectiveness.

Tags

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