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Moving Average Pullbacks System for Amibroker (AFL)
Steve Palmquist presents a short-term trading system that uses pullbacks as an entry setup and the next day’s higher high as a trigger. The system is supposedly profitable on the Nasdaq-100 but i have not tested it so if you do test and find it profitable please leave a comment.
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Indicator / Formula
// Moving Average Pullback system with modifications by Eric at 9Trading RisingCloses = LLV( Close, 5 ) > Ref( HHV( Close, 20 ), -20 ); PMA = MA( Close, 30 ); NotBelowPullbackMA = Sum( Close < PMA, 30 ) == 0; CloseToPullbackMA = ( Close - PMA ) < 0.015 * Close; // setup conditions for next day buy stop order Setup = RisingCloses AND NotBelowPullbackMA AND CloseToPullbackMA; TriggerPrice = Ref( High, -1 ); // buy only if stock opens higher than yesterdays high Buy = Ref( Setup, -1 ) AND High > TriggerPrice; BuyPrice = Max( Open, TriggerPrice ); Sell = False; // sell only via N-bar stop // time-based stop (for backtesting) ApplyStop( stopTypeNBar, stopModeBars, 5 ); SetTradeDelays( 0, 0, 0, 0 ); // no more than 3 simultaneous positions open SetOption("MaxOpenPositions", 3 ); PositionSize = -33; // 3% of capital in single security
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no, its not profitable