Buy Trade Rules

Trending Market

Entry Conditions:

• Bollinger Bands: Both bands are moving in the trend direction or not widening significantly.
• CCI: Stays between 50 and 150 for a strong trend, and between 0 and 100 for a weaker trend. Avoid entering when CCI is around 300.
• RSI: Above 50.
• Signals:
  • EMA5 crosses EMA10 from below.
  • RSI approaches 50 and then rises or crosses 50 and rises again.
  • Stochastic is trending up (preferably from a low level) and CCI approaches 0 and rises.

Exit Conditions:

• EMA5 crosses EMA10 from above.
• RSI crosses 50 from above.
• Stochastic crosses 80 from above.
• Note: In a strong trend, exit signals might fail. Re-enter when Stochastic reverses upward and EMA5 crosses EMA10 upwards.

Volatile Market (Scenario 1: Moderate Swings)

Entry Conditions:

• Bollinger Bands: Wide compared to previous flat periods.
• CCI: Far from 0 and consistently changing.
• RSI: Below 40 or above 60, indicating direction change.
• Signals:
  • EMA5 crosses EMA10 from below.
  • RSI crosses 50 from below.
  • Stochastic direction is up.

Exit Conditions:

• EMA5 crosses EMA10 from above.
• RSI crosses 50 from above.
• Stochastic crosses 80 from above.

Volatile Market (Scenario 2: Seeking Extremes)

Entry Conditions:

• Price: Far below both EMAs and current candle touches EMA5.
• RSI: Around 30 or less and reversing upwards.
• Stochastic: Below 50 and direction is up.
• CCI: Below -100 (optimal below -200) and reversing upwards.

Exit Conditions:

• EMA5 crosses EMA10 from above.
• RSI crosses 50 from above or reaches about 50 and reverses downwards.
• Stochastic crosses 80 from above.

Sell Trade Rules

Trending Market

Entry Conditions:

• Bollinger Bands: Both bands are moving in the trend direction or not widening significantly.
• CCI: Stays between -50 and -150 for a strong trend, and between 0 and -100 for a weaker trend. Avoid entering when CCI is around -300.
• RSI: Below 50.
• Signals:
  • EMA5 crosses EMA10 from above.
  • RSI approaches 50 and then falls or crosses 50 and falls again.
  • Stochastic is trending down (preferably from a high level) and CCI approaches 0 and falls.

Exit Conditions:

• EMA5 crosses EMA10 from below.
• RSI crosses 50 from below.
• Stochastic crosses 20 from below.
• Note: In a strong trend, exit signals might fail. Re-enter when Stochastic reverses downward and EMA5 crosses EMA10 downwards.

Volatile Market (Scenario 1: Moderate Swings)

Entry Conditions:

• Bollinger Bands: Wide compared to previous flat periods.
• CCI: Far from 0 and consistently changing.
• RSI: Below 40 or above 60, indicating direction change.
• Signals:
  • EMA5 crosses EMA10 from above.
  • RSI crosses 50 from above.
  • Stochastic direction is down.

Exit Conditions:

• EMA5 crosses EMA10 from below.
• RSI crosses 50 from below.
• Stochastic crosses 20 from below.

Volatile Market (Scenario 2: Seeking Extremes)

Entry Conditions:

• Price: Far above both EMAs and current candle touches EMA5.
• RSI: Around 70 or more and reversing downwards.
• Stochastic: Above 50 and direction is down.
• CCI: Above 100 (optimal above 200) and reversing downwards.

Exit Conditions:

• EMA5 crosses EMA10 from below.
• RSI crosses 50 from below or reaches about 50 and reverses upwards.
• Stochastic crosses 20 from below.

Important Notes:

• Open positions only after the candle is closed and the signal is confirmed to avoid false signals.
• Avoid trading during periods of price gaps.