Trading Strategy Overview

Introduction

• Profitable Strategy: Achieved 130% profit in 2 months.
• Tools: Utilizes 2 free indicators on TradingView.
• Applicability: Works across all markets.

Setup Requirements

1. Trading Platform: TradingView.
2. Security: Works with any security (example used: DOGE/USD).

Indicators Used

1. Double Exponential Moving Average (DEMA)

• Description: Enhanced EMA, created in 1994 for faster signals with less lag.
• Comparison: Faster signals than normal EMA but can introduce noise.
• Settings:
  • Length: 200
  • Style: Change color to blue

2. Supertrend Indicator

• Settings:
  • ATR Period: 12
  • ATR Multiplier: 3

Strategy Rules

Long Trade Rules

1. Price Above DEMA: Price must be above the blue DEMA line.
2. Buy Signal: Wait for a buy signal from the Supertrend indicator.
3. Entry Point: Enter post buy-signal candle closure.
4. Stop Loss: Set at Supertrend's buy signal line.
5. Exit: When Supertrend gives a sell signal.

Short Trade Rules

1. Price Below DEMA: Price must be below the blue DEMA line.
2. Sell Signal: Wait for a sell signal from the Supertrend indicator.
3. Entry Point: Enter post sell-signal candle closure.
4. Stop Loss: Set at Supertrend's sell signal line.
5. Exit: When Supertrend gives a buy signal.

Additional Tips

• When the price crosses the DEMA after a Supertrend signal, consider entering the trade.
• Consider using Fibonacci Bollinger Bands for potentially more profit.
  • Use: Sell if price hits the red Fibonacci Bollinger Band lines, regardless of Supertrend signal.

Backtesting Results

• Securities Tested: DOGE/USD and LTC/USD.
• Duration: 100 trades over 2.5 months.
• Winning Streak: 8 wins maximum.
• Losing Streak: 3 losses maximum.
• Overall Gains: 130.14% from 100 trades.
• Success Rate: 60% (60 wins/40 losses).

Conclusion

• Encouragement to backtest and refine strategies using TradingView.
• The strategy combines quick signal response with flexibility in profit-taking.
• Community engagement encouraged for strategy improvement.