Momentum Strategy by PrattyCharts

This strategy uses momentum to determine when to enter and exit positions. The default settings are set to look for a new 63 day high (~1 trading quarter) and a new 40 day relative high. If the stock is trending above the 50 day moving average it is a candidate to be bought. Stops are triggered when price closes below the 20 day or 50 day EMAs depending on how well the stock is trending. A stop could also be triggered even if price continues to move up, but is breaking down on a relative basis to a benchmark either SPX or BTCUSD . The goal is to hold on to our winners for as long as possible and cut the losers as soon as possible. This will alow us to capture the majority of major trends while avoiding many large drawdown and relative losers.

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

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