Craig_Claussen

MACD Multi-MA Strategy

Craig_Claussen Pro+ Updated   
This script applies the average of each major MA ( SMA , RMA, EMA , WVMA, WMA ) to the MACD formula.

The logic is simple. When all 5 MA's are in agreement in direction, then then script will notify users of change.
I posted this as a strategy to help show how logic does in back test. If you use my simple yet effective solution to find take profit locations, you can blow this back testing out of the water!!!


To set alerts simply turn script into study



//@version=2
study(title="MACD Multi-MA Study", overlay=false)

src = close
len1 = input(8, "FAST LOOKBACK")
len2 = input(144, "SLOW LOOKBACK")

/////////////////////////////////////////////
length = len2-len1
ma = vwma ( src , length)
plot(ma, title="VWMA", color=lime)


length1 = len2-len1
ma1 = rma( src , length1)
plot(ma1, title="RMA", color=purple)

length2 = len2-len1
ma2 = sma ( src , length2)
plot(ma2, title="SMA", color=red)


length3 = len2-len1
ma3 = wma ( src , length3)
plot(ma3, title="WMA", color=orange)

length4 = len2-len1
ma4 = ema ( src , length4)
plot(ma4, title="EMA", color=yellow)


long = ma > ma and ma1 > ma1 and ma2 > ma2 and ma3 > ma3 and ma4 > ma4
short = ma < ma and ma1 < ma1 and ma2 < ma2 and ma3 < ma3 and ma4 < ma4

alertcondition(long == true, title='MACD LONG SIGNAL', message='MACD LONG!')
alertcondition(short == true, title='MACD SHORT SIGNAL', message='MACD SHORT!')

Release Notes: Sorry for the confusion. I stumbled upon good results thinking I was using MACD formula. Turns out I was only using partial formula.

The mistake just goes to show how uncomplicated a script needs to be to give good back testing results even on a line chart.
Release Notes: Updated version with 4H setting at 66 just to show better backtest. See comment section below to test other lookback periods for other timeframes

I also changed overlay to true to save space on your screen

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 a publication is governed by House Rules. You can favorite it to use it on a chart.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

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