The Heracles strategy is a trading strategy implemented in a backtesting website. It uses various technical indicators to generate buy and sell signals for trading. Here is a brief description of how the strategy works:
The strategy uses the "volatility_kcw" and "volatility_dcp" indicators to determine the buy signal.
When the value of "volatility_kcw" is lower than the value of "volatility_dcp," a buy signal is generated.
For the sell signal, the strategy uses the "trend_macd_signal" and "trend_ema_fast" indicators.
When the value of "trend_ema_fast" is equal to the value of "trend_macd_signal," a sell signal is generated. The strategy implements a trailing stop feature, which allows the stop-loss level to be adjusted dynamically based on the price movement. The trailing stop is activated when the positive price movement reaches a certain threshold. The strategy operates on a 1-hour timeframe. Overall, the strategy aims to capitalize on price volatility and trend reversals to generate profitable trading opportunities. It has been optimized with specific parameter settings and has shown positive returns in historical backtesting results.