Mean-reversion
Nick's Momentum Trading Strategy - Beats Buy and Hold manifolds!This script works on the principle of short-term mean reversion and long term trend following, and uses minimal parameters to ensure no overfitting.
The scripts beats buy and hold for almost all major pairs that satisfy the following conditions:
- are trading on multiple exchanges as either ALTBTC or ALTUSD pairs
- have good volume available with them
- have an established history - (try not to use this script with really new pairs)
To run the script, follow these rules:
- script should be run on ALTBTC pair
- set first parameter such that when multiplied with resolution of chart, we get a whole day/week/month, etc. e.g. for a '4H' chart, set this to multiples of 6. The reason being that most algorithmic rebalancing in cryptosphere happens at these times, and we want to make effective use of this.
- set second parameter in the range of 1-6 - this is the smoothing factor (ema) we want to apply to our indicator (governed by our first parameter) - more smoothing = lesser trades. See what works for you.
- Last parameter is a filter condition. Just check/uncheck it once to see if market works better with this on or off.
- If script does not beat buy and hold on this pair (rarely), don't use script on this pair at all.
Access available only to friends. I do code trading strategies on request - so, let me know if you have a good set of rules to create a strategy.
Moving Average Mean Reversion StrategyA basic mean-reversion strategy. Shorts when the close is 10% above the MA, and goes long when it's 10% below the MA.
B3 ALMA PendulumB3 Pendulums, quick little indicators that do change print inside the current bar, so beware. It is good for anticipation, but it is important to make sure the current and next bars follow through.
Ever wanted an indicator that really points out the micro term action in the form of a pendulum swing? This my attempt to show the market ups and downs in the smallest amount of lag possible. This indicator is designed to bounce back and forth from 100 to -100 as it shows you the price's relationship to ALMA. Really its just a simple deviance from mean study made to amplify the quick ups and downs, and kind of the neatest on Heikin Ashi setups. It looks like Arabic language at first glance, lol.
This should be easy to template out to your own MA's. ~I hope you are enjoying the B3 scripts, that is now 9 open source shares and a couple protected ones. I still plan on a few more give-a-ways, as I prepare some of the algorithmic things I do for subscription. Feel free to comment about things you would like to see! ~B3
