This strategy integrates the signals of Moving Average Convergence Divergence (MACD), Relative Strength Index (RSI) and Relative Volume (RVOL) to form buy and sell trading signals for detecting price reversal points and automated trading.
The Optimized Trading Strategy with Triple Crossover takes advantage of MACD, RSI and RVOL to form stable trading signals. It has strong reliability and stability in timing entries and exits.
MACD judges price reversal and trend direction. RSI judges overbought and oversold levels. RVOL judges abnormal trading volume. Their crossover forms powerful trading signals.
The strategy applies to mid-long term position holding and short-term trading. It reduces stop loss probability and improves profitability probability.
When RSI breaks 30 upwards, MACD crosses above signal line, and RVOL is higher than 2, it triggers buy signal.
When RSI breaks 70 downwards, MACD crosses below signal line, and RVOL is lower than 5, it triggers sell signal.
The strategy requires at least 2 judgment conditions to generate trading signals, which avoids false signals effectively and improves stability.
To control risks, adaptive stop loss, parameter tuning for varying markets, and testing across markets are recommended to enhance stability.
The strategy can be further optimized in the following aspects:
With stop loss, parameter optimization, indicator optimization, and ensemble optimization, strategy effectiveness and stability can be further improved.
The Optimized Trading Strategy with Triple Crossover comprehensively considers the signals from MACD, RSI, and RVOL to build a robust system for buy/sell judgments. It enhances trading signal stability and profitability to effectively identify price reversal points. Applicable for mid-long term position holding and short-term trading, it demonstrates good practicability. With adaptive stop loss and parameter optimization added, it becomes more robust and outstanding for recommendation.
/*backtest start: 2023-01-10 00:00:00 end: 2024-01-16 00:00:00 period: 1d basePeriod: 1h exchanges: [{"eid":"Futures_Binance","currency":"BTC_USDT"}] */ // This source code is subject to the terms of the Mozilla Public License 2.0 at https://mozilla.org/MPL/2.0/ // © BobBarker42069 //@version=4 strategy("MACD, RSI, & RVOL Strategy", overlay=true) length = input( 14 ) overSold = input( 30 ) overBought = input( 70 ) price = close vrsi = rsi(price, length) co = crossover(vrsi, overSold) cu = crossunder(vrsi, overBought) fastLength = input(12) slowlength = input(26) MACDLength = input(9) MACD = ema(close, fastLength) - ema(close, slowlength) aMACD = ema(MACD, MACDLength) delta = MACD - aMACD RVOLlen = input(14, minval=1, title="RVOL Length") av = sma(volume, RVOLlen) RVOL = volume / av if (not na(vrsi)) if ((co and crossover(delta, 0)) or (co and crossover(RVOL, 2)) or (crossover(delta, 0) and crossover(RVOL, 2))) strategy.entry("MACD & RSI BUY Long", strategy.long, comment="BUY LONG") if ((cu and crossunder(delta, 0)) or (cu and crossunder(RVOL, 5)) or (crossunder(delta, 0) and crossunder(RVOL, 5))) strategy.entry("MACD & RSI SELL Short", strategy.short, comment="SELL LONG") //plot(strategy.equity, title="equity", color=color.red, linewidth=2, style=plot.style_areabr)template: strategy.tpl:40:21: executing "strategy.tpl" at <.api.GetStrategyListByName>: wrong number of args for GetStrategyListByName: want 7 got 6