Link to the SSL Channel script here:
Look at the background, the signals are represented by the colors.
- Bright green = long signal from SSL Channel
- Bright blue = long signal from
- Bright red = short signal from SSL Channel
- Bright orange = short signal from
- Green = we should be in a long from one of the signals - ok to enter back in if we get stopped out and still green
- Red = we should be in a short from one of the signals - ok to enter back in if we get stopped out and still red
- White = no trade
The SSL calculation prints a channel on the chart consisting of 2 lines.
This strategy gives a Long signal when price closes above the top of these 2 lines and a Short signal when it closes below the bottom.
A long signal occurs when EITHER we get an SSL long cross OR the crosses above the upper threshold.
A short signal occurs when EITHER we get an SSL short cross OR the crosses below the lower threshold (see settings to adjust upper and lower threshold).
STOP LOSS AND RE-ENTRY
We use a fixed stop loss of 2%
If we get stopped out but we still have the conditions for our trade (i.e. we get stopped out of a long but the next candle still shows a long condition after closing) then we re-enter.
Note: The SSL signals are generated on a cross of the price and the channels but there is still an active long signal as long as price stays above the upper band, same for below the lower band for short. Similarly, the Chaikin signal occurs as long as the Chaikin line is above the upper threshold (or below the lower threshold if short).
Tested and optimised for XBT/USD on Bitmex.