OPEN-SOURCE SCRIPT
Modulo Logic + EMA Strat
To understand this strategy first we need to look into the Modulo (%) operator. The modulo returns the remainder numerator
of a division's quotient (the result). If we do 5 / 3, we get 1 and 2/3 as a result, where the remainder is 2 (two thirds, in this case). This can be
used for many things, for example to determine when a number divides evenly into another number. If we divide 3/3, our result is 1,
with no remainder numerator, hence our modulo result is 0. In this strategy, we compare a given number (divisor, user defined) with the
the closing price of every candle (dividend, user defined) to determine if the result between their division is an even number.
If the answer is true, we have an entry signal. If this signal occurs below the EMA (length is defined by the user) we go short and
viceversa for longs. This logic can be reversed. In this case, the modulo works as a random-like filter for a moving average strategy
that usually struggles when the market is ranging and crosses are too often.
of a division's quotient (the result). If we do 5 / 3, we get 1 and 2/3 as a result, where the remainder is 2 (two thirds, in this case). This can be
used for many things, for example to determine when a number divides evenly into another number. If we divide 3/3, our result is 1,
with no remainder numerator, hence our modulo result is 0. In this strategy, we compare a given number (divisor, user defined) with the
the closing price of every candle (dividend, user defined) to determine if the result between their division is an even number.
If the answer is true, we have an entry signal. If this signal occurs below the EMA (length is defined by the user) we go short and
viceversa for longs. This logic can be reversed. In this case, the modulo works as a random-like filter for a moving average strategy
that usually struggles when the market is ranging and crosses are too often.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
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.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
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.