Simplified MA and FVG Strategy

4 часа назад# Combined MA Crossover and FVG Strategy

## Strategy Overview
This strategy combines two powerful technical analysis techniques: Moving Average (MA) Crossovers and Fair Value Gaps (FVG). It's designed to identify potential trend reversals and market inefficiencies, providing a balanced approach to both trend-following and mean-reversion trading styles.

## Key Components

### 1. Moving Average Crossover
- Uses a fast and a slow Simple Moving Average (SMA)
- Default periods: Fast MA (10), Slow MA (50)
- Generates initial entry signals based on crossovers

### 2. Fair Value Gap (FVG) Detection
- Identifies areas where price has moved rapidly, leaving a "gap" in fair value
- Used as a confirmation tool for potential reversals or continuations

### 3. Exponential Moving Average (EMA)
- Acts as a dynamic support/resistance level
- Default period: 20

### 4. MACD (Moving Average Convergence Divergence)
- Provides momentum confirmation
- Default settings: Fast length (12), Slow length (26), Signal length (9)

### 5. Support and Resistance Detection
- Identifies short-term support and resistance levels
- Helps in confirming potential reversal points

## Entry Conditions

### Long (Buy) Signal:
1. Fast MA crosses above Slow MA
2. Bullish Fair Value Gap detected
3. Price is below the 20 EMA (indicating potential for upward movement)
4. MACD line is above the Signal line (bullish momentum)
5. Price is at a detected support level

### Short (Sell) Signal:
1. Fast MA crosses below Slow MA
2. Bearish Fair Value Gap detected
3. Price is above the 20 EMA (indicating potential for downward movement)
4. MACD line is below the Signal line (bearish momentum)
5. Price is at a detected resistance level

## Exit Conditions
- Profit Target: User-defined percentage (default 20%)
- Stop Loss: User-defined percentage (default 13%)
- Opposite Signal: Positions are closed when an opposite signal occurs

## Strategy Parameters
Users can adjust the following parameters to fit their trading style:
- Fast and Slow MA lengths
- EMA length
- MACD parameters (Fast, Slow, and Signal lengths)
- Profit Target percentage
- Stop Loss percentage

## Risk Management
The strategy uses a percent-of-equity position sizing method, defaulting to 10% of account equity per trade. Users can adjust this based on their risk tolerance.

## Visualization
- Fast MA plotted in blue
- Slow MA plotted in red
- EMA plotted in green
- Long entry signals shown as green triangles below price bars
- Short entry signals shown as red triangles above price bars

## Backtesting and Optimization
Users are encouraged to backtest this strategy on various timeframes and instruments. Performance can vary significantly depending on the market conditions and the specific asset being traded. Optimize the parameters to find the best settings for your chosen market and timeframe.

## Disclaimer
This strategy is for educational and informational purposes only. Always conduct your own research and consider your risk tolerance before trading. Past performance does not guarantee future results.

## Author's Note
I welcome any feedback or suggestions for improvement. If you find this strategy useful, please consider giving it a like and leaving a comment. Happy trading!