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Dual Hull MA Judgement Threshold Trading Strategy

Cryptocurrency
Created: 2023-09-13 13:48:30
Last modified: 3 years ago
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This strategy trades based on a combination of dual Hull Moving Averages and daily candle comparison, with judgement thresholds for long/short conditions. It also uses fixed stop loss/take profit for risk management.

Strategy Logic:

  1. Calculate dual Hull MAs and compare current value versus previous period.

  2. Compute daily close change rate, and set long/short judgement thresholds.

  3. Go long when fast MA crosses above slow MA, and daily change exceeds threshold. Vice versa for short.

  4. Use fixed stop loss and take profit prices. Close positions when hit.

  5. Can also set maximum open position limit.

Advantages:

  1. Dual HullMA improves accuracy. Daily change confirms bias.

  2. Thresholds avoid being swayed by small counter-trend moves.

  3. SL/TP helps lock in profits and control risks.

Risks:

  1. Bad threshold settings can miss opportunities. Prudent testing needed.

  2. Fixed SL/TP Unable to flexibly adjust, risks improper settings.

  3. Both Hull MA and daily change lag.

In summary, this dual-indicator judgement system with risk controls can improve stability to some extent. But optimization is still required to find the ideal configurations.

Source
Pine
/*backtest
start: 2022-09-06 00:00:00
end: 2023-02-21 00:00:00
period: 5d
basePeriod: 1d
exchanges: [{"eid":"Futures_Binance","currency":"BTC_USDT"}]
*/

//@version=2
//                                                        Hull_MA_cross & Daily_Candle_cross combination with TP$ & SL$ setting
//                                                              (new script reducing effect of repaint on results)
//
Strategy parameters
Strategy parameters
Double HullMA
Decision Threshold
Stop Loss in $
Target Point in $
p
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