The strategy implemented in the provided code is called "SMAOffsetProtectOptV1HO1". Here is a short description of what the strategy does:
The strategy is designed to perform backtesting of trading strategies using the Freqtrade platform. It uses a combination of technical indicators such as Exponential Moving Average (EMA), Elliot Wave Oscillator (EWO), and Relative Strength Index (RSI) to generate buy and sell signals.
The strategy employs a Simple Moving Average (SMA) offset technique for buying and selling.
It calculates multiple moving averages for buying and selling, based on the specified number of candles.
The offset parameters determine the buy and sell thresholds relative to the moving averages. The strategy also incorporates a protection mechanism based on the EWO indicator. It sets a range for the EWO values, and if the EWO value falls below the specified low threshold or exceeds the high threshold, it generates a buy signal. Additionally, the strategy uses the RSI indicator to generate buy signals when the RSI value is below a specified threshold. For selling, the strategy generates sell signals when the closing price exceeds the specified offset percentage above the moving average. The strategy includes other features such as a trailing stop loss, profit-taking options, and the ability to define the optimal timeframe for the strategy. Please note that this description provides an overview of the strategy, and the actual performance may vary depending on the specific parameters and market conditions used during backtesting.