The Rockwell strategy is a trading strategy based on the concept of MACD (Moving Average Convergence Divergence). The strategy aims to identify uptrends and downtrends in the market using MACD indicators. Here's a breakdown of the strategy:
Uptrend definition:
MACD (line) is above the 0 line
MACD (line) is above the MACD signal (line)
Downtrend definition:
MACD (line) is below the 0 line
MACD (line) is below the MACD signal (line)
Sell definition:
MACD (line) is below the MACD signal (line)
The strategy uses the predefined entry and exit points provided by the trading bot, assuming it handles those aspects.
The strategy focuses on identifying the trend direction using MACD and generates buy signals when the conditions for an uptrend are met.
Conversely, sell signals are generated when the MACD line falls below the MACD signal line.
The strategy has the following parameters:
Minimal ROI (Return on Investment): The minimum expected return for the strategy over specific time intervals. Stoploss: The optimal stop loss value for the strategy. Timeframe: The recommended timeframe for analyzing the market data. To implement the strategy, the following indicators are used:
MACD: Calculates the MACD line, MACD signal line, and MACD histogram based on the market data. The strategy populates the indicators, buy signals, and sell signals in the provided dataframe using the TA (Technical Analysis) indicators. The populated buy and sell signals can be used to execute trades based on the strategy's rules. Note: This is a simplified description of the strategy, and it assumes that you are familiar with basic trading concepts and terminology. It's always recommended to thoroughly test and validate any trading strategy before deploying it in a live trading environment.