Anti Moving Averages Crossover Strategy
Posted: Wed Jun 07, 2006 8:19 pm
Hello,
once again a different approach to mechanical trading systems.
I have always wondered, why a MA Crossover is supposed to signal a certain price trend.
When my long term ma crosses below my short term ma, then price can still go south. there is no reference to the vertical direction of price.
Also if i a triple ma system, then once the st crosses above the mt above the lt, the run might be exhausted.
everybody dreams of getting in at the "low"!!!
if i look for a reversal of a short term ma i do konw that price has reversed and is going up.
lets say DEMA[2]>DEMA[1]<DEMA than price has reversed from down trend to up trend. my smoothed ma tells me so.
if i know the stma is above the lt ma i also know its a general uptrend.
same goes for down trend reversal.
if i pinpoint entries by different time frames of the short and long term ma's and just use plain reversals for exit i get a money mashine intraday system.
just let the automatic optimization run over your historical date and see for yourself....
Any feedback of back tests is welcome.
Since i am using amibroker professional, no TS code - sorry.
If you'd like the amibroker code - PM!
once again a different approach to mechanical trading systems.
I have always wondered, why a MA Crossover is supposed to signal a certain price trend.
When my long term ma crosses below my short term ma, then price can still go south. there is no reference to the vertical direction of price.
Also if i a triple ma system, then once the st crosses above the mt above the lt, the run might be exhausted.
everybody dreams of getting in at the "low"!!!
if i look for a reversal of a short term ma i do konw that price has reversed and is going up.
lets say DEMA[2]>DEMA[1]<DEMA than price has reversed from down trend to up trend. my smoothed ma tells me so.
if i know the stma is above the lt ma i also know its a general uptrend.
same goes for down trend reversal.
if i pinpoint entries by different time frames of the short and long term ma's and just use plain reversals for exit i get a money mashine intraday system.
just let the automatic optimization run over your historical date and see for yourself....
Any feedback of back tests is welcome.
Since i am using amibroker professional, no TS code - sorry.
If you'd like the amibroker code - PM!