Example I3: Two indicator lines combined
This is not a ready-to-use trading strategy. A trading strategy requires adjustment to the timeframe and symbol, along with thorough backtesting. The example is intended as a foundation for your own custom strategy and to help you get familiar with the Expert Advisor Builder web application. To import and use an example, please follow the instructions provided here.
Description
This example combines two moving averages for signal generation using their crossing points. When the faster SMA crosses above the slower EMA, buy signals occur. This classic technical analysis approach has been used by traders for decades due to its simplicity and effectiveness.
Moving average crossovers smooth price action while identifying trend changes. The dual-line approach provides confirmation as both averages must align for signals. Visual display of both lines helps traders understand the relationship dynamics driving signal generation.
This foundational strategy teaches indicator combination principles applicable to any indicator pair. Understanding how two indicators interact prepares traders for more complex multi-indicator systems.
Recreate the Example
You can either import this example directly or set it up manually. To manually replicate the trading module, make sure a newly added module includes the following key settings and that the professional mode is activated:
Trade Basics
- Operation type = Long signals only drawn
- General signal visualization = On
Signal Generation - Indicators - SMA
- Signal in use = On
- Signal used for = Entry
- Selected indicator = SMA
- Draw in chart = On
- Drawing slot = 1
Signal Generation - Indicators - EMA
- Signal in use = On
- Signal used for = Entry
- Selected indicator = EMA
- Draw in chart = On
- Drawing slot = 2
Signal Generation - Indicator Combinations (SMA & EMA)
- Signal in use = On
- Signal used for = Entry
- Input indicator 1 = SMA
- Input indicator 2 = EMA
- Value relation = Value x cross value x
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