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Robot WhiteBox MultiMA

Script from: TradingView

Intraday

Trend following

Pullback

Robot WhiteBox MultiMA is an enhancement of the ShiftMA trading strategy, employing three limit orders to initiate trades. It uses lime lines to signal the opening of long positions, and red lines for short positions. A single blue line indicates when to close any active trades. Recent release notes detail additional features such as order cancellation, adjusted lot sizes, MA Offset parameters, exit strategies, MA Closing logic, and the implementation of checkboxes for user configuration.

XDC / Dollar (XDCUSD)

+ Robot WhiteBox MultiMA

@ 5 min

2.80

Risk Reward

85.03 %

Total ROI

18

Total Trades

Bitcoin / Euro (BTCEUR)

+ Robot WhiteBox MultiMA

@ 1 h

2.77

Risk Reward

66.57 %

Total ROI

44

Total Trades

PYTH / TetherUS (PYTHUSDT)

+ Robot WhiteBox MultiMA

@ 15 min

2.59

Risk Reward

72.56 %

Total ROI

45

Total Trades

ORDI / TetherUS (ORDIUSDT)

+ Robot WhiteBox MultiMA

@ Daily

2.23

Risk Reward

146,502.74 %

Total ROI

79

Total Trades

JASMY / TetherUS (JASMYUSDT)

+ Robot WhiteBox MultiMA

@ 15 min

1.90

Risk Reward

67.15 %

Total ROI

68

Total Trades

Premium users only

Premium users can access all backtests with a Risk/Reward Ratio > 3

@ 1 h

16.47

Risk Reward

111.60 %

Total ROI

35

Total Trades

Premium users only

Premium users can access all backtests with a Risk/Reward Ratio > 3

@ 15 min

8.46

Risk Reward

40.02 %

Total ROI

16

Total Trades

Exxon Mobil Corporation (XOM)

+ Robot WhiteBox MultiMA

@ 2 h

2.86

Risk Reward

233.89 %

Total ROI

105

Total Trades

Pfizer, Inc. (PFE)

+ Robot WhiteBox MultiMA

@ 2 h

2.85

Risk Reward

142.89 %

Total ROI

78

Total Trades

Verizon Communications Inc. (VZ)

+ Robot WhiteBox MultiMA

@ 4 h

2.85

Risk Reward

98.52 %

Total ROI

53

Total Trades

AT&T Inc. (T)

+ Robot WhiteBox MultiMA

@ 1 h

2.80

Risk Reward

74.89 %

Total ROI

43

Total Trades

U.S. Bancorp (USB)

+ Robot WhiteBox MultiMA

@ 1 h

2.62

Risk Reward

214.38 %

Total ROI

75

Total Trades
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Guide

How does the Robot WhiteBox MultiMA strategy work ?

The Robot WhiteBox MultiMA strategy utilizes multiple moving averages to set up three tiered limit orders for both long and short positions, as well as a single blue line for closing any open positions. Lime lines represent the levels at which the strategy aims to enter long positions, while red lines indicate the entry points for short positions. The blue line is used as a universal closing signal to exit trades.

  • Each of the three lime (long) and red (short) lines represents potential entry points set at different percentages away from the moving average.
  • The strategy allows traders to fine-tune entry and exit points by adjusting the moving average offset and the percentage levels for each of the limit orders.
  • Recent updates have introduced the MA Offset feature for additional entry precision, MA Closing for defining the exit point, and checkboxes for enabling or disabling long and short trades individually.
  • Trades are entered using limit orders if the moving average is positive and executed according to the trader-configured position sizes and designated levels.
  • Positions are closed when the price reaches the blue line, which is the predefined moving average used for exiting trades.

Strategy.exit commands are used to ensure positions are closed at the desired closing moving average and to manage the orders at the end of the specified trading period.

How to use the Robot WhiteBox MultiMA strategy ?

This trading strategy uses multiple moving averages for entry points for both long and short positions, and exits when the price reaches a closing moving average. It includes dynamic lot sizing based on the equity percentage and has different entry levels for scaling into positions.

To trade this strategy manually on TradingView:

  • Set up two moving average indicators, one with a period (len) of 3 for entries (Opening MA) and another one also with a period (len2) of 3 for exits (Closing MA).
  • For long entries, place limit buy orders at the price levels calculated as a certain percentage (longlevel1, longlevel2, longlevel3) below the Opening MA.
  • For short entries, place limit sell orders at the price levels calculated as a certain percentage (shortlevel1, shortlevel2, shortlevel3) above the Opening MA.
  • Exit the positions when the current price reaches the Closing MA, using a limit order at the Closing MA level.
  • Manage the sizes of your trades by determining a fixed percentage of your equity for each trade.
  • Use the input time conditions (startTime and finalTime) to define the trading window within which you can initiate positions.

How to optimize the Robot WhiteBox MultiMA trading strategy ?

To enhance the Robot WhiteBox MultiMA trading strategy in manual trading on TradingView, consider the following refinements to increase its effectiveness and tailor it to your individual trading style:

  • Optimize Moving Average Parameters: Test different lengths (periods) for the Opening and Closing MAs to better suit the volatility and trend characteristics of the asset being traded. This could involve transitioning from simple to exponential MAs or using adaptive MAs that respond to market conditions.
  • Adjust Entry Levels: Fine-tune the percentages used to calculate the entry levels (longlevel1, longlevel2, longlevel3, shortlevel1, shortlevel2, shortlevel3) based on historical price action to improve the probability of successful trades and better manage risk.
  • Incorporate Volume Analysis: Add volume analysis to confirm entry signals. A surge in volume accompanying a breakout from a Moving Average may strengthen the signal, suggesting a higher likelihood of a sustained move in the direction of the trade.
  • Add Additional Confirmation Indicators: Use other indicators such as RSI or MACD for additional confirmation. For instance, only enter a long trade if the RSI is above a certain threshold indicating upward momentum or if the MACD line has crossed above the signal line.
  • Employ Price Action and Candlestick Patterns: Study price action around the entry and exit levels. Reversal candlestick patterns near these levels can bolster the rationale for entering or exiting a trade.
  • Set Dynamic Take-Profit and Stop-Loss Levels: Rather than using the Closing MA for exits, implement a dynamic take-profit and stop-loss system based on a predefined risk-to-reward ratio or adjust them according to the Average True Range (ATR) indicator for volatility-based exits.
  • Market Condition Analysis: Differentiate between trending and range-bound market environments. Apply the strategy selectively based on these conditions or adjust the strategy parameters to adapt to the current market phase.
  • Backtest and Forward Test Enhancements: Rigorously backtest any changes to the strategy against historical data. Additionally, conduct forward testing in a simulated or live environment with small positions to validate the modifications before fully scaling up.
  • Manual Oversight and Discretion: Use discretion based on broader market news or events which could influence price action beyond what the indicators are able to predict. This human element can prevent trades from being executed during times of anomalous market behavior.

For which kind of traders is the Robot WhiteBox MultiMA strategy suitable ?

The Robot WhiteBox MultiMA strategy is well-suited for traders who prefer a systematic, rules-based approach to the markets. Ideal for those with an inclination towards technical analysis, it fits the style of traders who are comfortable with using moving averages as the core component of their trading decisions. This setup caters to both trend-following traders, who aim to capitalize on significant moves, and to those looking to enter trades on retracements towards moving averages in actively trending markets.

  • Day Traders and Swing Traders: The multiple-tiered limit order approach allows for quick intraday trades as well as holding positions for several days.
  • Quantitatively Inclined Traders: The strategy's reliance on precise mathematical rules for entry and exit points aligns with traders who prefer to minimize subjectivity in their trading.
  • Active Portfolio Managers: Those who manage diverse portfolios can apply this strategy across various assets, as it is designed to be adaptable to different market conditions.

Key Takeaways of Robot WhiteBox MultiMA

  • Strategy Essence: Utilizes tiered moving average levels for entry and a single MA for exits, suitable for a technical, systematic trading approach.
  • Operational Modes: Can be used with automated scripts for backtesting, real-time alerts for semi-manual trading, or fully manual through direct analysis on TradingView.
  • Optimization and Customization: Adjustable MA periods and entry percentages for tuning accuracy, complemented with volume analysis and additional indicators for confirmation.
  • Price Action Consideration: Incorporate candlestick patterns and market condition observations to strengthen position entries and exits.
  • Risk Management: Employ dynamic stop-loss and take-profit based on volatility indicators like ATR, and use a risk-to-reward strategy to maintain profitability.
  • Trader Suitability: Best for traders who are comfortable with moving averages and look for technical setups, from day traders to active portfolio managers.
  • Human Oversight: Despite its systematic nature, maintain manual oversight to account for market news and anomalous conditions.
  • Testing for Efficacy: Backtest and forward test modifications thoroughly to confirm performance improvements before full implementation.
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