Hello, I’m looking for a quick and easy way to have a strategy adjust to only trade when the market is clearly tending a certain way. In other words I need it to avoid sideways trading as that seems to be a point of weakness for it. What is a good way I can adjust the strategy out in Strategy Builder? Thanks! Jeff
I see it’s been a while since this was posted, but I just wanted to ask if anyone ended up adding a trend filter like EMA or ADX into their strategy successfully. Did it help with false signals or overtrading? I’m trying something similar now and wondering what kind of lookback periods worked best for others when checking higher timeframe trends.
I’ve done something similar by checking the slope of a moving average to decide trend direction before placing trades. If you’re working with complex setups or combining several indicators to catch trend shifts, the Quantum AI Trading Platform made it easier for me with built-in tools that handle a lot of the logic in the background, so I didn’t have to code every condition manually.
In the Strategy Builder, the simplest trend filter is one or two extra conditions added to each entry set. Common ones: ADX(14) greater than 20-25, which blocks entries when there’s no trend; price above a long EMA (e.g. 200) for longs and below it for shorts; or the EMA rising, i.e. EMA[0] > EMA[5], for longs. Start with one filter and keep its period round; tuning the threshold until the backtest looks best mostly fits noise. Compare trade count and drawdown with and without the filter on a period you didn’t use to build the strategy, and check how many good trades it removes, not just bad ones. Happy to help further, feel free to DM me.