MACD DEMA Strategy By Harvey

Strategy Description – MACD + DEMA Quantitative Trading System

This strategy combines the Moving Average Convergence Divergence (MACD) indicator with a Double Exponential Moving Average (DEMA) trend filter to capture both momentum shifts and trend reversals with precision.

It’s designed for crypto perpetual futures, optimized for 1H–4H timeframes, and supports both long and short entries with configurable leverage and position sizing.

Core Logic

MACD Momentum Filter: Detects momentum acceleration and divergence between short- and long-term EMAs to confirm directional bias.

DEMA Trend Filter: Reduces lag compared to traditional EMAs, improving timing for entries and exits.

ATR-based Stop & Take-Profit: Dynamic risk control using ATR multipliers for stop-loss and target placement.

Dual-side Logic: Separate long/short conditions ensure symmetry and flexibility across market regimes.

Webhook Integration: Ready for automated execution via trading bots (e.g., Binance, Hyperliquid, Aster) using JSON-based alerts.

Key Features

Configurable parameters for DEMA, MACD, ATR, and leverage.

Optional higher-timeframe (HTF) trend confirmation.

Pyramiding control and adaptive volatility filters.

Partial take-profit and full-stop exit logic.

Detailed alert messages formatted for REST API automation.

Use Case

Ideal for traders seeking a balanced trend-following and momentum strategy, combining fast-moving averages with robust risk management.
Suitable for algorithmic execution or manual validation with clear visual cues on TradingView.

💡 Important:

To ensure correct signal generation, please set your chart’s Source to “MACD DEMA: signal.”

For optimal trend filtering, enable the HTF filter and set it to 240 (4H) to align lower-timeframe entries with higher-timeframe trends.