Welcome to my second published Trend-following strategy for bitcoin , designed specifically for BITMEX:XBTUSD on 4H.
This is an extension of my first script but then for the 4H timeframe.
In order to set up Alerts for this strategy, I've created a second script called Trend-following Alert E v2.6 4H which you can find here:
Here you will find the "active_long" and "active_long" variables (red and blue lines) that show which positions are being taken by the strategy script.
You can set 'Once per bar close' alerts for this to get your alerts on TV.
For instance, I use 'crossing up @ 0.1' on "active_long" to set an 'Open Long" alert and a 'crossing down @ 0.9' to set a 'Close Long' alert.
The same holds for the 'Open Short' and the 'Close Short' alerts but then for the 'active_short' variable.
As you can see from the backtest I've done my best to create a decent ROI with limited DD.
You can also run this backtest/strategy with '100% of equity' but I would advise against trading this as your risk will fundamentally increase.
With a constant order size this strategy should be quite safe to use.
Going from the results it's clear that this strategy excels during clear bull/bear trends but might suffer a little bit during market chop.
This is also where ROI tends to stagnate a little bit only then to take off again during a clear trend.
There are two inputs that can be modified on this strategy, however I think the current settings are optimal for this market on the 2H candle.
I've also added start and end dates to test specific time periods.
Please let me know if you have any questions.
Access to this script is restricted to users authorized by the author and usually requires payment. You can add it to your favorites, but you will only be able to use it after requesting permission and obtaining it from its author. Contact Timmieman for more information, or follow the author's instructions below.
TradingView does not suggest paying for a script and using it until you 100% trust its author and understand how the script works. In many cases you can find a good open-source alternative for free in our Public Library.
Warning: please read before requesting access.