OPEN-SOURCE SCRIPT
Crypto - Relative Strength Strategy - Long
Crypto - Relative Strength Strategy (Long Only, $100 Buy)
Overview
The "Crypto - Relative Strength Strategy (Long Only, $100 Buy)" is a trading strategy designed to capitalize on the relative strength of a cryptocurrency compared to its historical price movements. This strategy is tailored for long-only positions, meaning it only enters buy trades and exits when the strength indicator turns negative.
Key Features
Relative Strength Calculation: The strategy uses a custom function to calculate the relative strength of the cryptocurrency based on its performance against several moving averages (EMA 8, EMA 34, SMA 20, SMA 50, and SMA 200).
Long-Only Positions: The strategy exclusively enters long positions when the relative strength indicator turns positive.
Fixed $100 Buy Amount: Each time a buy signal is triggered, the strategy purchases $100 worth of the cryptocurrency.
Sell Signals: The strategy closes the entire position when the relative strength indicator turns negative.
Backtesting Date Range: Users can specify a custom date range for backtesting using the input.time function.
Visual Indicators: Green and red areas represent positive and negative strength. Minimal buy and sell signals are plotted on the chart.
Overview
The "Crypto - Relative Strength Strategy (Long Only, $100 Buy)" is a trading strategy designed to capitalize on the relative strength of a cryptocurrency compared to its historical price movements. This strategy is tailored for long-only positions, meaning it only enters buy trades and exits when the strength indicator turns negative.
Key Features
Relative Strength Calculation: The strategy uses a custom function to calculate the relative strength of the cryptocurrency based on its performance against several moving averages (EMA 8, EMA 34, SMA 20, SMA 50, and SMA 200).
Long-Only Positions: The strategy exclusively enters long positions when the relative strength indicator turns positive.
Fixed $100 Buy Amount: Each time a buy signal is triggered, the strategy purchases $100 worth of the cryptocurrency.
Sell Signals: The strategy closes the entire position when the relative strength indicator turns negative.
Backtesting Date Range: Users can specify a custom date range for backtesting using the input.time function.
Visual Indicators: Green and red areas represent positive and negative strength. Minimal buy and sell signals are plotted on the chart.
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
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Disclaimer
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