Strategies / S50
Short The Rally
In a downtrend, short the bounce to the 21 EMA: 1.5 ATR stop, 3R target.
Results
| Market class | Return | Holding | Sharpe | Max DD | Win rate | Trades |
|---|---|---|---|---|---|---|
| Crypto, 4h | -57.3% | +518% | -0.29 | -70.4% | 29.9% | 5,084 |
| Stocks, 1d | -72.9% | +28K% | -0.51 | -76.1% | 20.2% | 779 |
| Forex, 1d | -11.9% | +3.1% | -0.14 | -21.4% | 28.8% | 590 |
| Commodities, 1d | -65.4% | +1,833% | -0.47 | -68.6% | 23.4% | 518 |
| Indices, 1d | -24.6% | +878% | -0.12 | -50.0% | 24.8% | 427 |
The exact rule
- Go short when EMA(21) is below EMA(50) and high is above EMA(21) and close is below EMA(21).
- Stop: 1.5 ATR(14) from entry.
- Target: 3 times the risk.
- Leave after 48 bars at most.
- Declared timeframe: 4h.
Explain it with Ask AI (Premium, on a desktop)
Watch it trade
This runs the same engine in your browser on the latest candles, with your own costs. Press Replay to watch every entry and exit arrive bar by bar.
Download
Pine ScriptFor TradingView
Paper botRuns on the Bot API, no real money
Python backtestOne file, no dependencies
READMEThe rule in plain words
Want it to run by itself? Read the automate guide, and use paper money first.
Related strategies
RSI PullbackIn an uptrend, buy RSI under 40 and sell over 60.Dip Above SMA 200A five-period RSI under 30, above the 200 SMA.Trend Pullback 1%In an uptrend, buy a 1% dip under the 20 EMA.
Research, not advice. Past results do not predict future ones. Results run to 2026-10-31.