TEMA OBOS Strategy PakunTEMA OBOS Strategy
Overview
This strategy combines a trend-following approach using the Triple Exponential Moving Average (TEMA) with Overbought/Oversold (OBOS) indicator filtering.
By utilizing TEMA crossovers to determine trend direction and OBOS as a filter, it aims to improve entry precision.
This strategy can be applied to markets such as Forex, Stocks, and Crypto, and is particularly designed for mid-term timeframes (5-minute to 1-hour charts).
Strategy Objectives
Identify trend direction using TEMA
Use OBOS to filter out overbought/oversold conditions
Implement ATR-based dynamic risk management
Key Features
1. Trend Analysis Using TEMA
Uses crossover of short-term EMA (ema3) and long-term EMA (ema4) to determine entries.
ema4 acts as the primary trend filter.
2. Overbought/Oversold (OBOS) Filtering
Long Entry Condition: up > down (bullish trend confirmed)
Short Entry Condition: up < down (bearish trend confirmed)
Reduces unnecessary trades by filtering extreme market conditions.
3. ATR-Based Take Profit (TP) & Stop Loss (SL)
Adjustable ATR multiplier for TP/SL
Default settings:
TP = ATR × 5
SL = ATR × 2
Fully customizable risk parameters.
4. Customizable Parameters
TEMA Length (for trend calculation)
OBOS Length (for overbought/oversold detection)
Take Profit Multiplier
Stop Loss Multiplier
EMA Display (Enable/Disable TEMA lines)
Bar Color Change (Enable/Disable candle coloring)
Trading Rules
Long Entry (Buy Entry)
ema3 crosses above ema4 (Golden Cross)
OBOS indicator confirms up > down (bullish trend)
Execute a buy position
Short Entry (Sell Entry)
ema3 crosses below ema4 (Death Cross)
OBOS indicator confirms up < down (bearish trend)
Execute a sell position
Take Profit (TP)
Entry Price + (ATR × TP Multiplier) (Default: 5)
Stop Loss (SL)
Entry Price - (ATR × SL Multiplier) (Default: 2)
TP/SL settings are fully customizable to fine-tune risk management.
Risk Management Parameters
This strategy emphasizes proper position sizing and risk control to balance risk and return.
Trading Parameters & Considerations
Initial Account Balance: $7,000 (adjustable)
Base Currency: USD
Order Size: 10,000 USD
Pyramiding: 1
Trading Fees: $0.94 per trade
Long Position Margin: 50%
Short Position Margin: 50%
Total Trades (M5 Timeframe): 128
Deep Test Results (2024/11/01 - 2025/02/24)BTCUSD-5M
Total P&L：+1638.20USD
Max equity drawdown：694.78USD
Total trades：128
Profitable trades:44.53
Profit factor:1.45
These settings aim to protect capital while maintaining a balanced risk-reward approach.
Visual Support
TEMA Lines (Three EMAs)
Trend direction is indicated by color changes (Blue/Orange)
ema3 (short-term) and ema4 (long-term) crossover signals potential entries
OBOS Histogram
Green → Strong buying pressure
Red → Strong selling pressure
Blue → Possible trend reversal
Entry & Exit Markers
Blue Arrow → Long Entry Signal
Red Arrow → Short Entry Signal
Take Profit / Stop Loss levels displayed
Strategy Improvements & Uniqueness
This strategy is based on indicators developed by "l_lonthoff" and "jdmonto0", but has been significantly optimized for better entry accuracy, visual clarity, and risk management.
Enhanced Trend Identification with TEMA
Detects early trend reversals using ema3 & ema4 crossover
Reduces market noise for a smoother trend-following approach
Improved OBOS Filtering
Prevents excessive trading
Reduces unnecessary risk exposure
Dynamic Risk Management with ATR-Based TP/SL
Not a fixed value → TP/SL adjusts to market volatility
Fully customizable ATR multiplier settings
(Default: TP = ATR × 5, SL = ATR × 2)
Summary
The TEMA + OBOS Strategy is a simple yet powerful trading method that integrates trend analysis and oscillators.
TEMA for trend identification
OBOS for noise reduction & overbought/oversold filtering
ATR-based TP/SL settings for dynamic risk management
Before using this strategy, ensure thorough backtesting and demo trading to fine-tune parameters according to your trading style.
Obos
Normalised T3 Oscillator [BackQuant]Normalised T3 Oscillator
The Normalised T3 Oscillator is an technical indicator designed to provide traders with a refined measure of market momentum by normalizing the T3 Moving Average. This tool was developed to enhance trading decisions by smoothing price data and reducing market noise, allowing for clearer trend recognition and potential signal generation. Below is a detailed breakdown of the Normalised T3 Oscillator, its methodology, and its application in trading scenarios.
1. Conceptual Foundation and Definition of T3
The T3 Moving Average, originally proposed by Tim Tillson, is renowned for its smoothness and responsiveness, achieved through a combination of multiple Exponential Moving Averages and a volume factor. The Normalised T3 Oscillator extends this concept by normalizing these values to oscillate around a central zero line, which aids in highlighting overbought and oversold conditions.
2. Normalization Process
Normalization in this context refers to the adjustment of the T3 values to ensure that the oscillator provides a standard range of output. This is accomplished by calculating the lowest and highest values of the T3 over a user-defined period and scaling the output between -0.5 to +0.5. This process not only aids in standardizing the indicator across different securities and time frames but also enhances comparative analysis.
3. Integration of the Oscillator and Moving Average
A unique feature of the Normalised T3 Oscillator is the inclusion of a secondary smoothing mechanism via a moving average of the oscillator itself, selectable from various types such as SMA, EMA, and more. This moving average acts as a signal line, providing potential buy or sell triggers when the oscillator crosses this line, thus offering dual layers of analysis—momentum and trend confirmation.
4. Visualization and User Interaction
The indicator is designed with user interaction in mind, featuring customizable parameters such as the length of the T3, normalization period, and type of moving average used for signals. Additionally, the oscillator is plotted with a color-coded scheme that visually represents different strength levels of the market conditions, enhancing readability and quick decision-making.
5. Practical Applications and Strategy Integration
Traders can leverage the Normalised T3 Oscillator in various trading strategies, including trend following, counter-trend plays, and as a component of a broader trading system. It is particularly useful in identifying turning points in the market or confirming ongoing trends. The clear visualization and customizable nature of the oscillator facilitate its adaptation to different trading styles and market environments.
6. Advanced Features and Customization
Further enhancing its utility, the indicator includes options such as painting candles according to the trend, showing static levels for quick reference, and alerts for crossover and crossunder events, which can be integrated into automated trading systems. These features allow for a high degree of personalization, enabling traders to mold the tool according to their specific trading preferences and risk management requirements.
7. Theoretical Justification and Empirical Usage
The use of the T3 smoothing mechanism combined with normalization is theoretically sound, aiming to reduce lag and false signals often associated with traditional moving averages. The practical effectiveness of the Normalised T3 Oscillator should be validated through rigorous backtesting and adjustment of parameters to match historical market conditions and volatility.
8. Conclusion and Utility in Market Analysis
Overall, the Normalised T3 Oscillator by BackQuant stands as a sophisticated tool for market analysis, providing traders with a dynamic and adaptable approach to gauging market momentum. Its development is rooted in the understanding of technical nuances and the demand for a more stable, responsive, and customizable trading indicator.
Thus following all of the key points here are some sample backtests on the 1D Chart
Disclaimer: Backtests are based off past results, and are not indicative of the future.
INDEX:BTCUSD
INDEX:ETHUSD
BINANCE:SOLUSD
Wavetrend strategy with trading session for any time chartHello there
Today I am glad to provide you a strategy based on the wave trend oscillator. If you want to use it as an indicator, just disable long and short to not make any shops.
It works on all time frames.
The way it works its like an RSI .
We have overbought and oversold levels, and together with a channel and length we calculate the wave trend.
And then like in RSI, when we cross those lines we buy or sell depending on which lines we cross.
For risk management, so far its not implemented, but it can be done in many ways.
The only thing I applied is to always close a trade at the end of friday day. At the same time it can be applied the rule to sell when % of equity is lost, or at the end of a trading session like london,neywork and so on.
For any questions or doubts, let me know.
Hope you enjoy it :)
