Strategy Rules
- Buy Entry (Long):
- RSI < 30 (oversold)
- Price touches EMA 50 (dynamic support)
- Sell Entry (Short):
- RSI > 70 (overbought)
- Price touches EMA 50 (dynamic resistance)
- Stop Loss: Below swing low (for longs), above swing high (for shorts)
- Take Profit: Risk:Reward = 1:2
Test Conditions
- Pair: BTC/USDT
- Timeframe: 1H
- Period: Last 3 months
- Platform: TradingView (Bar Replay)
Results (Example Data)
- Total Trades: 40
- Winning Trades: 22
- Losing Trades: 18
- Win Rate: 55%
- Average R:R: 1:2
- Profit Factor: 1.7
- Max Drawdown: -8%
Key Observations
- Strategy works best in trending markets
- During sideways (choppy) conditions → more false signals
- Combining with volume (breakouts on high volume) improves results
- EMA filter helps avoid counter-trend trades
Conclusion
The RSI + EMA combo is a solid beginner strategy with moderate win rate but strong R:R ratio.
Not perfect, but with discipline it can grow an account steadily. Works better when combined with support/resistance zones for confluence.