The SMAOffsetProtectOptV1 strategy is designed to backtest trading strategies. Here's a short description of what the strategy does:
The populate_indicators function calculates the following indicators:
Exponential Moving Averages (EMA) for different time periods, based on the configuration settings. The Elder's Force Index (EWO), which is a technical indicator used to measure the power behind price movements.
Relative Strength Index (RSI), a momentum oscillator that measures the speed and change of price movements.
The populate_buy_trend function determines the buy signals based on the following conditions:
The closing price is below the moving average multiplied by a specified low offset value.
The EWO value is above a specified high threshold. The RSI value is below a specified buy threshold. The trading volume is greater than zero. The populate_sell_trend function determines the sell signals based on the following condition:
The closing price is above the moving average multiplied by a specified high offset value. The trading volume is greater than zero. If any of the conditions for buying or selling are met, the respective signal ('buy' or 'sell') is marked in the DataFrame. Overall, this strategy uses moving averages, EWO, and RSI indicators to identify potential buying and selling opportunities based on specified thresholds and offsets.