Momentum Long + Short Strategy (BTC 3H)

Momentum Long + Short Strategy (BTC 3H) at a glance

Kind of rule	Joining a move (trend following)
Buys or sells	It can buy, and it can bet on falling prices.
Built on	ADX / DMI, ATR, Bollinger Bands, EMA, RSI, SMA, Standard deviation, RMA
Where it was published	TradingView, by its author, as a Pine Script strategy
Tested on	65 cells: 13 coins, October 2021 to June 2026, no fee
Cells that placed a trade	65 of 65
Middle result before fees	−100.0%
Cells above zero	0 of 65
Middle drawdown before fees	99.9%
Page updated	2026-11-08

Momentum Long + Short Strategy (BTC 3H) backtest results, every cell

Every cell is in the picture, not only the strongest. To the right of the black line is above zero. The orange line, when you see one, is the middle.

How Momentum Long + Short Strategy (BTC 3H) works

Rules in this group usually work like this. It waits until price is already moving, then joins that move. It is wrong in small ways many times, and right in a large way a few times. The hard part is the stretch where price chops around and every entry is a fake. The next paragraph is this particular rule, which can be narrower than the group.

It can buy, and it can bet on falling prices. It acts only when several checks agree at once. It leans on ATR, EMA, RMA, RSI; those names are explained on their own pages, further down. The exact line is in the list below, in the author's names, and you can skip that list. When it enters, it also sets a stop or a target, so a trade can close without a new signal.

Each trade uses the whole account. It holds one trade at a time.

The exact condition, from the code

Same rule, translated from the code, in the author's names. You can skip this list if the paragraph above was enough.

• Enters long when Enable Long Trades (on) and the close is above ma100 and the close is above ma500 and (not (Require MA100 > MA500 (on)) or ma100 is above ma500) and (not (Enable RSI Filter (off)) or the 14-period RSI of the close is above RSI smooth) and (not (Enable ADX Filter (off)) or DMI (ADX Length (14)) is above ADX smooth) and (not (Enable ATR Filter (off)) or the 14-period ATR is above ATR smooth).
• Enters short when Enable Short Trades (off) and the close is below ma100 and the close is below ma500 and the close is below (Bollinger basis − (Bollinger deviation × 2)) and the 14-period RSI of the close is below RSI Threshold (33) and (not (Enable ATR Filter (Short) (on)) or the 14-period ATR is above ATR short smoothed) and (not (Block Shorts if MA100 > MA500 by (%) (on)) or not (EMA gap too wide)).
• Keeps a stop at (the average entry price × (1 − (Long Stop Loss % (3) / 100))) working while the position is open.
• Closes the position when a long position is open and the close is below (the 500-period EMA of the close when Smoothing Type (EMA) equals 'EMA', else the 500-period SMA of the close).
• Keeps a stop at (the average entry price × (1 + (Short Stop Loss % (3) / 100))), a target at (the average entry price × (1 − (Short Take Profit % (4) / 100))) working while the position is open.

Buys or sells	It can buy, and it can bet on falling prices.
Tools it calculates	ADX / DMI, ATR, Bollinger Bands, EMA, RSI, SMA, Standard deviation, RMA
A second chart speed	No. It uses one chart speed only.
Only at certain hours	No.
Adding to a trade	It holds one trade at a time.
How much it trades	Each trade uses the whole account.
Cost the author assumed	The author assumed a trading cost of 0.1 percent per side.

Default settings

The test used the defaults in the middle column. Nothing was turned to help a coin.

Setting	Default	Group
Enable Long Trades	on	LONG TRADE SETTINGS
Long Stop Loss %	3	LONG TRADE SETTINGS
Enable RSI Filter	off	LONG FILTER SETTINGS
Enable ADX Filter	off	LONG FILTER SETTINGS
Enable ATR Filter	off	LONG FILTER SETTINGS
Require MA100 > MA500	on	LONG FILTER SETTINGS
Smoothing Type	EMA	LONG FILTER SETTINGS
Smoothing Length (for filters)	100	LONG FILTER SETTINGS
RSI Length	14	RSI FILTER
ADX Length	14	ADX FILTER
ATR Length	14	ATR FILTER
Enable Short Trades	off	SHORT TRADE SETTINGS
Short Stop Loss %	3	SHORT TRADE SETTINGS
Short Take Profit %	4	SHORT TRADE SETTINGS
RSI Length	14	SHORT FILTER SETTINGS
RSI Threshold	33	SHORT FILTER SETTINGS
Bollinger Band Length	20	SHORT FILTER SETTINGS
Enable ATR Filter (Short)	on	SHORT FILTER SETTINGS
Block Shorts if MA100 > MA500 by (%)	on	SHORT FILTER SETTINGS
Threshold (%) for Blocking Shorts	2	SHORT FILTER SETTINGS

How the backtest was run

Every strategy was tried the same way, on the settings the author published.

The years are October 2021 to June 2026. The prices are from Bybit, for 13 widely traded coins, mostly on hourly, 4-hour and daily charts, with some faster charts. That was 47,242 tries. The window stored in the files is 2021-09..2026-06.

599 rules produced a finished try. A rule that finished above zero on at least 12 cells, before any fee, was tried again with a fee of 0.12 percent per side. Only buys are counted in that second try. 273 rules got it.

The method, the aggregate results and a downloadable table are on the study page. What the desk does with the results beyond these pages is its own.

Before any fee, it was tried on 65 cells. 0 of the cells that traded finished above zero (0.0%).

It was not run a second time with a fee. That second pass happens only when at least 12 cells finished above zero before fees. 273 rules got that pass.

Cells tried	65
Cells that placed a trade	65
Finished above zero	0 (0.0% of the cells that traded)
Middle result, before fees	−100.0%
Strongest cell, the top of the range	ADA daily: −12.2%
Weakest cell, the bottom of the range	DOGE hourly: −100.0%
Middle drawdown, before fees	99.9%

Label: backtest · old prices, zero commission · Oct 2021 – Jun 2026. Hypothetical results; see the risk disclosure.

How to read the result

How to read the number

The median of every cell that traded is the result. No fee has been taken off, so the number is a ceiling. A fee comes off each trade, and this page does not guess that cost, because this rule did not get the second pass where the fee is applied. The weakest and the strongest cells are not a result on their own.

The middle drawdown, on the cells that traded, was 99.9%.

What this does not show

The useful question, for a rule that joins a move already underway, is what it gave back in the choppy months when there was no trend to join.

Nothing on this page was fit to the cell that finished highest. One coin, one chart speed, or one strong stretch is a single row. It is not the rule. Other years, another exchange, or another fee would be a different measurement.

Questions about Momentum Long + Short Strategy (BTC 3H)

Words used on this page

Backtest

The rule was tried on old prices. No real money moved.

Cell

One coin on one chart speed. Bitcoin every 4 hours is one cell. Bitcoin once a day is another.

Chart speed

How often a new price bar is drawn. 15m means every 15 minutes, 1h means hourly, 4h means every 4 hours, 1D means once a day.

Fee, per side

A cost taken each time the rule trades. Per side means once on the way in and once on the way out.

Median

Line the cells up from the biggest loss to the biggest gain. The median is the middle one. Half the cells did better and half did worse.

Drawdown

The deepest fall from a high point along the way, as a percent of the account at that high.

Above zero

The account finished with more than it started.

The indicators Momentum Long + Short Strategy (BTC 3H) uses

Each has its own page: what it measures, how it is read, where it misleads.

• ADX and the directional movement index: how strong the trend is, not which way
• ATR (average true range): the volatility number behind most stops
• Bollinger Bands: a moving average with two standard deviations on each side
• Exponential moving average (EMA): what it measures and where it misleads
• RSI (relative strength index): the formula, the 70/30 rule, and why it misleads in trends
• Simple moving average (SMA): the plainest average, and why it still runs half the strategies
• Standard deviation in trading: the volatility measure inside Bollinger Bands and z-scores
• Wilder's smoothing (RMA): the average inside RSI, ATR and ADX

"Momentum Long + Short Strategy (BTC 3H)" was published on TradingView by its author, under the author's own license. This page is an independent reading of those rules and of what they did on these old prices. It is not written with the author, and it is not a recommendation. Not every detail survives the translation onto this page, so read the original before you rely on it.