This is a trend-following strategy based on the 44-period Exponential Moving Average (EMA). The strategy primarily seeks buying opportunities in uptrends by analyzing multiple conditions including EMA slope, candlestick patterns, and price retracements. Designed for shorter timeframes such as 2-minute and 5-minute charts, it aims to capture trading opportunities in short-term price fluctuations.
The Gaussian Cross EMA Trend Retracement Strategy is a trend-following system that combines multiple technical indicators. By integrating EMA, candlestick pattern analysis, and price retracements, this strategy shows good potential in identifying uptrends and optimizing entry timing. However, users need to be cautious about overtrading risks and optimize parameters for different market environments. By introducing additional technical indicators and improving risk management mechanisms, this strategy has the potential to achieve more stable performance in short-term trading.
/*backtest start: 2019-12-23 08:00:00 end: 2024-09-24 08:00:00 period: 1d basePeriod: 1d exchanges: [{"eid":"Futures_Binance","currency":"BTC_USDT"}] */ //@version=5 strategy("Custom Strategy with EMA and Candle Conditions", overlay=true) // Define parameters ema_length = 44 // Calculate EMA ema_44 = ta.ema(close, ema_length) // Calculate the slope of the EMA ema_slope = ta.ema(close, ema_length) - ta.ema(close[9], ema_length) // Define a threshold for considering the EMA flat flat_threshold = 0.5 // Check if the EMA is flat or inclined ema_is_inclined = math.abs(ema_slope) > flat_threshold // Define the previous candle details prev_candle_high = high[1] prev_candle_low = low[1] prev_candle_close = close[1] prev_candle_open = open[1] // Candle before the previous candle (for high comparison) candle_before_prev_high = high[2] // Current candle details current_candle_high = high current_candle_low = low current_candle_close = close current_candle_open = open // Previous to previous candle details prev_prev_candle_low = low[2] // Previous candle body and wick length prev_candle_body = math.abs(prev_candle_close - prev_candle_open) prev_candle_wick_length = math.max(prev_candle_high - prev_candle_close, prev_candle_close - prev_candle_low) // Calculate retrace level for the current candle retrace_level = prev_candle_close - (prev_candle_close - prev_candle_low) * 0.5 // Check if the previous candle's wick is smaller than its body prev_candle_condition = prev_candle_wick_length < prev_candle_body // Check if the previous candle is a green (bullish) candle and if the previous candle's close is above EMA prev_candle_green = prev_candle_close > prev_candle_open prev_candle_red = prev_candle_close < prev_candle_open prev_candle_above_ema = prev_candle_close > ema_44 // Entry condition: The current candle has retraced to 50% of the previous candle's range, previous candle was green and above EMA, and the high of the current candle is above the retrace level, and EMA is inclined entry_condition = prev_candle_close > candle_before_prev_high and prev_candle_green and prev_candle_above_ema and current_candle_low <= retrace_level and current_candle_high >= retrace_level and ema_is_inclined // Exit condition exit_condition = (strategy.position_size > 0 and prev_candle_red) or (strategy.position_size > 0 and current_candle_low < prev_candle_low) // Ensure only one trade is open at a time single_trade_condition = strategy.position_size == 0 // Plot EMA for visualization plot(ema_44, color=color.blue, title="44 EMA") // Plot conditions for debugging plotshape(series=entry_condition and single_trade_condition, location=location.belowbar, color=color.green, style=shape.labelup, text="Buy") plotshape(series=exit_condition, location=location.abovebar, color=color.red, style=shape.labeldown, text="Sell") // Print entry condition value on chart var label entry_label = na if (entry_condition and single_trade_condition) entry_label := label.new(bar_index, low, text="Entry Condition: TRUE", color=color.green, textcolor=color.white, size=size.small, yloc=yloc.belowbar) else entry_label := label.new(bar_index, high, text="Entry Condition: FALSE", color=color.red, textcolor=color.white, size=size.small, yloc=yloc.abovebar) // Debugging: Plot retrace level and other key values plot(retrace_level, color=color.orange, title="Retrace Level") plot(prev_candle_high, color=color.purple, title="Previous Candle High") plot(candle_before_prev_high, color=color.yellow, title="Candle Before Previous High") // Trigger buy order if entry condition and single trade condition are met if (entry_condition and single_trade_condition) strategy.entry("Buy", strategy.long) // Trigger sell order if exit condition is met if (exit_condition) strategy.close("Buy")template: strategy.tpl:40:21: executing "strategy.tpl" at <.api.GetStrategyListByName>: wrong number of args for GetStrategyListByName: want 7 got 6