Trend Following Strategy (v1.0.0)
Price + Volume based trend analysis with buy/sell signals, support/resistance levels, and target pricing.
Quick Start
python3 skills/trend-following/scripts/trend_strategy.py <TICKER> [PERIOD]
Examples:
python3 skills/trend-following/scripts/trend_strategy.py ADBE 1y
python3 skills/trend-following/scripts/trend_strategy.py ORCL 6mo
python3 skills/trend-following/scripts/trend_strategy.py AAPL
Indicators Used
| Indicator | Purpose |
|---|---|
| RSI(14) | Overbought/oversold (70+=overbought, 30-=oversold) |
| MACD | Trend momentum (histogram crossing 0 = signal) |
| MA20/50/200 | Trend direction (price vs moving averages) |
| Bollinger Bands | Volatility envelopes |
| Volume MA | Volume surges confirm moves |
Signal Logic
Buy Signals 🟢
- MACD histogram crosses above 0 (golden cross)
- Volume >1.5x avg + price above MA20
- RSI 40-60 + uptrend confirmation
- Pullback to MA20 in strong uptrend
- RSI oversold + MACD reversal = possible bottom
Sell Signals 🔴
- RSI >70 (overbought)
- Price below MA20 in downtrend
- Volume >2x on price decline
- MACD bearish (below signal line)
- Breaking support level
Output Sections
- Trend Status — MA20/50/200 alignment
- Key Levels — Resistance and support zones
- Signals — Current buy/sell conditions
- Entry & Targets — Entry price, stop loss, 3 targets with R/R ratio
Parameters
TICKER— Required. Yahoo Finance ticker symbol (e.g., ADBE, ORCL, TSLA)PERIOD— Optional. Data period (default: 1y). Options: 3mo, 6mo, 1y, 2y, 5y
Notes
- Requires
yfinance(pip install yfinance) - Uses swing point detection for support/resistance
- Targets are based on measured moves from current price to next S/R level
- Always validate with current market data before trading