PROTECTED SOURCE SCRIPT
Simple Price Momentum
Simple Price Momentum Strategy ( SPM )
The term momentum was borrowed from Newton’s first law of motion. The law states that where an object in motion tends to stay in motion until an external force is applied to it. Like in the law of physics, a market in motion tends to stay in motion rather than reverse. This is the reason why a momentum indicator strategy is so powerful.
My algorithm depends on two signals, an open and an exit.
Basically, while the Green shows earlier, the signal actually takes place at the end of the bar. Remember “close” source is the current price while the candle is still forming, because it can change its state it could create a situation where “A > B” and then change to “A < B”, so we don’t know which one is the final value until the bar officially ends. This is why the backtest engine opens a position in the bar after.
The term momentum was borrowed from Newton’s first law of motion. The law states that where an object in motion tends to stay in motion until an external force is applied to it. Like in the law of physics, a market in motion tends to stay in motion rather than reverse. This is the reason why a momentum indicator strategy is so powerful.
My algorithm depends on two signals, an open and an exit.
Basically, while the Green shows earlier, the signal actually takes place at the end of the bar. Remember “close” source is the current price while the candle is still forming, because it can change its state it could create a situation where “A > B” and then change to “A < B”, so we don’t know which one is the final value until the bar officially ends. This is why the backtest engine opens a position in the bar after.
면책사항
이 정보와 게시물은 TradingView에서 제공하거나 보증하는 금융, 투자, 거래 또는 기타 유형의 조언이나 권고 사항을 의미하거나 구성하지 않습니다. 자세한 내용은 이용 약관을 참고하세요.