EMA 20/50 crossover with ADX filter
Follows the trend only when ADX confirms it has strength. It's cloned turned off in your practice account so you can review it before turning it on.
How it works
- 1It triggersAccording to its frequency: 4 h.
- 2It reads the dataPrices and signals for BTC · ETH.
- 3It evaluates the ruleFollows the trend only when ADX confirms it has strength.
- 4It acts and notifiesIt trades in practice or sends you the alert, depending on the template.
About this strategy
The moving average crossover is one of the best-known trend strategies: when the fast average (20 EMA) crosses above the slow one (50 EMA), price is gaining upward momentum; when it crosses below, it’s losing it.
Its weak spot is sideways markets, where the averages cross back and forth and generate false signals. That’s why the template adds the ADX, which measures trend strength regardless of direction: it only trades when the ADX is above a threshold (25 is the usual choice).
It’s a strategy that wins less often but tries to make winners bigger than losers. To judge it, look at the backtest’s profit factor and drawdown, not just the win rate.
The workflow
Click a node to see what it doesCustomize it before cloning
What you'll receive
Questions about this strategy
The Average Directional Index measures the strength of a trend on a scale from 0 to 100. Above 25 is usually read as a clear trend.
The exponential moving average (EMA) gives more weight to recent prices, so it reacts faster to changes. You can switch to a simple average when you clone the template.
It is usually run on 4-hour or daily candles. Very short time frames bring more noise and more fees; compare a few with a backtest before choosing.
It's cloned in practice. Try it for a few weeks and move it to real money only if you're convinced, with your risk limits.
Learn before you switch it on
- How to backtest a trading strategy without fooling yourselfWhat backtesting is, how to test a trading strategy on historical data and the mistakes that inflate results: overfitting, look-ahead bias, fees and slippage.
- How to build a trading bot without codingA step-by-step guide to building a trading bot with no code: turn your strategy into rules, backtest it and run it on paper before you risk real money.