Stochastic Momentum Index(SMI)-Parabolic Stop and Reversal(PSAR) Strategy

SMI shows where the close is relative to the midpoint of the same range.PSAR trails price as the trend extends over time. The indicator is below prices when prices are rising and above prices when prices are falling.

BUY : When current close crossed above PSAR and SMI %K LINE crossed above %D line and EMA 9 period is greater than EMA 21 period.

SELL : When current close crossed below PSAR and SMI %K LINE crossed above %D line and EMA 9 period is greater than EMA 21 period.

BUY{
set ma1 = EMA(CLOSE,9);
set ma2 = EMA(CLOSE,15);
set smik = SMIK(14,2,3,9,SIMPLE,SIMPLE) ;
set smid = SMId(14,2,3,9,SIMPLE,SIMPLE) ;
CROSSOVER(CLOSE,PSAR(0.2,0.02)) and CROSSOVER(smik,smid) and ma1 > ma2;}
LONGEXIT{
set ma1 = EMA(CLOSE,9);
set ma2 = EMA(CLOSE,15);
set smik = SMIK(14,2,3,9,SIMPLE,SIMPLE) ;
set smid = SMId(14,2,3,9,SIMPLE,SIMPLE) ;
CROSSOVER(PSAR(0.2,0.02),CLOSE) or CROSSOVER(smid,smik) and ma1 < ma2;}

This slideshow requires JavaScript.

Advertisements