The "HansenSmaOffsetV1" strategy is a backtesting strategy that aims to generate buy and sell signals for trading based on certain conditions. Here's a short description of what the strategy does:
It uses the 15-minute timeframe for analyzing price data. The strategy sets a minimal return on investment (ROI) target of 10% for all trades.
There is a stop loss mechanism in place with a fixed value of -99, indicating that there is no specific stop loss level defined.
The strategy calculates several indicators based on the price data, such as simple moving averages (SMA) and exponential moving averages (EMA).
The "smau1" indicator is calculated as the sum of a 20-period SMA and 5% of the same SMA. The "smad1" indicator is calculated as the subtraction of 5% of a 20-period SMA from the SMA itself. The strategy also calculates the average of the open, high, low, and close prices, referred to as "hclose."
It calculates the average of the previous open and close prices, referred to as "hopen."
The strategy determines the highest price among the open, close, and high prices, referred to as "hhigh."
It determines the lowest price among the open, close, and low prices, referred to as "hlow."
The "emac" indicator represents a 6-period SMA of the "hclose" price. The "emao" indicator represents a 6-period SMA of the "hopen" price. The strategy generates a buy signal when the high price is below "smad1" and the opening price is less than the closing price. It generates a sell signal when the low price is above "smau1" and the opening price is greater than the closing price. The strategy uses these indicators and conditions to determine when to buy or sell assets during the backtesting process.