█ Introduction and How it is Different The FlexiMA x FlexiST Strategy blends two analytical methods - FlexiMA and FlexiST, which are opened in my early post. - FlexiMA calculates deviations between an indicator source and a dynamic moving average, controlled by a starting factor and increment factor. - FlexiST, on the other hand, leverages the SuperTrend model, adjusting the Average True Range (ATR) length for a comprehensive trend-following oscillator. This synergy offers traders a more nuanced and multifaceted tool for market analysis.
BTC 6H L/S Performance
Local
█ Strategy, How It Works: Detailed Explanation The strategy combines two components: FlexiMA and FlexiST, each utilizing unique methodologies to analyze market trends.
🔶FlexiMA Component: - Calculates deviations between an indicator source and moving averages of variable lengths. - Moving average lengths are dynamically adjusted using a starting factor and increment factor. - Deviations are normalized and analyzed to produce median and standard deviation values, forming the FlexiMA oscillator.
Length indicator (50)
🔶FlexiST Component: - Uses SuperTrend indicators with varying ATR (Average True Range) lengths. - Trends are identified based on the position of the indicator source relative to the SuperTrend bands. - Deviations between the indicator source and SuperTrend values are calculated and normalized.
Starting Factor (5)
🔶Combined Strategy Logic: - Entry Signals: - Long Entry: Triggered when median values of both FlexiMA and FlexiST are positive. - Short Entry: Triggered when median values of both FlexiMA and FlexiST are negative. - Exit Signals: - Long Exit: Triggered when median values of FlexiMA or FlexiST turn negative. - Short Exit: Triggered when median values of FlexiMA or FlexiST turn positive. This strategic blend of FlexiMA and FlexiST allows for a nuanced analysis of market trends, providing traders with signals based on a comprehensive view of market momentum and trend strength.
█ Trade Direction The strategy is designed to cater to various trading preferences, offering "Long", "Short", and "Both" options. This flexibility allows traders to align the strategy with their specific market outlook, be it bullish, bearish, or a combination of both.
█ Usage Traders can effectively utilize the FlexiMA x FlexiST Strategy by first selecting their desired trade direction. The strategy then generates entry signals when the conditions for either the FlexiMA or FlexiST are met, indicating potential entry points in the market. Conversely, exit signals are generated when the conditions for these indicators diverge, thus signaling a potential shift in market trends and suggesting a strategic exit point.
█ Default Settings 1. Indicator Source (HLC3): Provides a balanced and stable price source, reducing the impact of extreme market fluctuations. 2. Indicator Lengths (20 for FlexiMA, 10 for FlexiST): Longer FlexiMA length smooths out short-term fluctuations, while shorter FlexiST length allows for quicker response to market changes. 3. Starting Factors (1.0 for FlexiMA, 0.618 for FlexiST): Balanced start for FlexiMA and a harmonized approach for FlexiST, resonating with natural market cycles. 4. Increment Factors (1.0 for FlexiMA, 0.382 for FlexiST): FlexiMA captures a wide range of market behaviors, while FlexiST provides a gradual transition to capture finer trend shifts. 5. Normalization Methods ('None'): Uses raw deviations, suitable for markets where absolute price movements are more significant. 6. Trade Direction ('Both'): Allows strategy to consider both long and short opportunities, ideal for versatile market engagement.