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STRATEGY_RSI_BB_CROSS Strategy: The Percentage Crossover Master

Nickname: Percentage Hero, Symmetry Freak
Occupation: Oscillating Market Trader
Timeframe: 5 minutes

I. What is This Strategy?​

Simply put, STRATEGY_RSI_BB_CROSS is a strategy that:

  • Converts Bollinger Band position to a percentage (0-1)
  • Converts RSI position to a percentage too (0-1)
  • The two percentages fight each other, trade when they cross

It's like two thermometers comparing who's hotter — one measures "price heat" (Bollinger Band position), one measures "momentum heat" (RSI position), whoever overtakes whom triggers a signal! 🌡️

II. Core Configuration: Also "Four-Level Take Profit + Loose Stop Loss"​

Take Profit Rules (ROI Table)​

Just bought → Target 4%
30 minutes later → Target drops to 2%
60 minutes later → Target drops to 1%

Translation: When entering, want 4%; waited longer, lowered expectations, 1% will let you exit too. Same ROI setting as STRATEGY_RSI_BB_BOUNDS_CROSS.

Stop Loss Rule​

Cut at 10% loss

Translation: Giving enough room for fluctuation, 10% stop loss. Enough for oscillating coins, may not be enough for trending coins.

III. Core Concept: Turn Everything into Percentages​

Bollinger Band Percentage (BB%)​

Formula:

BB% = (Price - Bollinger Band Lower) / (Bollinger Band Upper - Bollinger Band Lower)

Plain English:

  • BB% = 0: Price stepping on Bollinger Band lower band
  • BB% = 1: Price hitting Bollinger Band upper band
  • BB% = 0.5: Price at Bollinger Band middle

RSI Percentage (RSI%)​

Formula:

RSI% = (RSI - 30) / (100 - 30 - 30) = (RSI - 30) / 40

Plain English:

  • RSI% = 0: RSI at oversold line (30)
  • RSI% = 1: RSI at overbought line (70)
  • RSI% = 0.5: RSI at neutral zone (50)

Why Do This?​

Because now you can compare them directly!

Bollinger Band position (price dimension) and RSI position (momentum dimension) were originally two different things, now both become 0-1 percentages, compare directly:

  • BB% > RSI%: Price position higher than momentum position → possibly overbought
  • BB% < RSI%: Price position lower than momentum position → possibly oversold

Genius idea! 🧠

IV. Buy Condition: Crossover + Zone + Trend​

🎯 Buy Signal: BB% Crosses Above RSI%​

Condition Combination:

ConditionCodeHuman Translation
Crossover signalcrossed_above(bb_percent, rsi_percent)BB% just exceeded RSI%
Zone restrictionbb_percent < 0.5BB% still in lower half
Zone restrictionrsi_percent < 0.5RSI% also in lower half
Trend confirmationbb_below_rsi_count.shift(1)Previous 14 candles BB% all below RSI%

Plain English:

"Bro, BB% just overtook RSI%! And both are in the lower half (both relatively low). Key is, for the past 14 candles BB% was being suppressed by RSI%, now finally turning around! Buy!" 🚀

V. Sell Condition: Perfect Symmetry​

🎯 Sell Signal: BB% Crosses Below RSI%​

Condition Combination:

ConditionCodeHuman Translation
Crossover signalcrossed_below(bb_percent, rsi_percent)BB% just got overtaken by RSI%
Zone restrictionbb_percent > 0.5BB% in upper half
Zone restrictionrsi_percent > 0.5RSI% also in upper half
Trend confirmationbb_above_rsi_count.shift(1)Previous 14 candles BB% all above RSI%

Plain English:

"BB% got overtaken by RSI%! And both are in the upper half (both relatively high). For the past 14 candles BB% was the boss, now got taken down. Sell!" 💰

Symmetry Display​

DimensionBuySell
Crossover DirectionBB% crosses above RSI%BB% crosses below RSI%
Zone RequirementBoth < 0.5 (lower half)Both > 0.5 (upper half)
Trend ConfirmationBB% continuously below RSI%BB% continuously above RSI%

Perfect symmetry! This is the OCD art of the strategy author! 🎨

VI. This Strategy's "Personality Traits"​

✅ Advantages (Praise Section)​

  1. Perfect Logic Symmetry: Buy and sell conditions correspond one-to-one, OCD patients rejoice
  2. Normalized Comparison: Unifying indicators from different dimensions to percentages, genius idea
  3. Zone Filter: Ensures buying in lower half, selling in upper half, won't trade randomly
  4. Trend Confirmation: 14-period confirmation, not decided by one candle

⚠️ Disadvantages (Critique Section)​

  1. Crossover Signal Lag: Crossover is post-confirmation, may miss optimal entry point
  2. No Trailing Stop: Floating profit can turn into loss, watching profits slip away
  3. Hardcoded Parameters: Trend confirmation period and RSI limit are both hardcoded
  4. Fixed Bollinger Band Window: 20 period may not suit all coins

VII. Applicable Scenarios: When to Use It?​

Market EnvironmentRecommendationReason
📈 Slow Bull Oscillation⭐⭐⭐⭐⭐Perfect match! Percentage crossover signals clear in oscillation
🔄 Sideways Oscillation⭐⭐⭐⭐⭐Also home turf! Buy low sell high, perfect
📉 One-way Downtrend⭐⭐☆☆☆Buy signals will trigger, but may buy into losing positions
⚡ High Volatility⭐⭐⭐☆☆Percentage positions jump around, signals may be unstable

VIII. Summary: How is This Strategy Really?​

One-Sentence Review​

"Perfect logic symmetry, genius percentage comparison, elegant dancer in oscillating markets."

Who Should Use It?​

  • ✅ Oscillating market lovers
  • ✅ People who like logic symmetry
  • ✅ People interested in percentage normalization
  • ✅ People who can accept crossover signal lag

Who Should NOT Use It?​

  • ❌ People seeking instant entry (crossover signals have lag)
  • ❌ One-way trend markets
  • ❌ People who need trailing profit
  • ❌ High volatility coins (percentages will jump around)

My Recommendations​

  1. Oscillating coins first: This strategy is naturally designed for oscillation
  2. Watch crossover confirmation: Crossover signals have lag, be mentally prepared
  3. Consider adding trailing stop: Locking in floating profit is important
  4. Compare test with RSI_BB_BOUNDS_CROSS: Both strategies are RSI+Bollinger Band, can compare effectiveness

IX. What Markets Can This Strategy Make Money In?​

9.1 Core Logic: The Game of Percentage Positions​

This strategy's innovation is normalized percentage comparison:

Bollinger Band Percentage says: "Where is price in the statistical volatility range" RSI Percentage says: "Where is momentum in the overbought/oversold range"

When crossovers occur between them:

  • BB% crosses above RSI%: Price position starting to exceed momentum position → possible bounce
  • BB% crosses below RSI%: Price position starting to weaken relative to momentum position → possible pullback

9.2 Performance in Different Markets (Plain English Version)​

Market TypeRatingPlain English Explanation
📈 Slow Bull Oscillation⭐⭐⭐⭐⭐Percentage positions stable, crossover signals clear, perfect
🔄 Sideways Oscillation⭐⭐⭐⭐⭐This is home turf! Buy low sell high, symmetrical signals
📉 One-way Downtrend⭐⭐☆☆☆Buy signals trigger but stop losses bleed
⚡ High Volatility⭐⭐⭐☆☆Percentage positions jumping around, crossovers may repeat

One-Sentence Summary: A "symmetrical artist" for oscillating markets, may not adapt well to one-way trends.

X. Want to Run This Strategy? Check These Configurations First​

10.1 Trading Pair Configuration​

Configuration ItemSuggested ValueNote
Timeframe5mDefault design, don't change
Bollinger Band Window20Standard 20, can consider optimization
RSI Period14Classic setting, no need to change
Trend Confirmation Period14Consistent with RSI period, logically coherent

10.2 Key Settings in Configuration File​

# Suggest adding trailing stop
trailing_stop = True
trailing_stop_positive = 0.02
trailing_stop_positive_offset = 0.03
trailing_only_offset_is_reached = True

10.3 Hardware Requirements (Important!)​

This strategy has moderate calculation requirements, not demanding on VPS:

Number of Trading PairsMinimum MemoryRecommended MemoryExperience
1-102GB4GBSmooth
10-504GB8GBNo problem

Warning: Crossover judgment needs qtpylib.crossed_above/crossed_below, small calculation but watch for latency 😎

10.4 Backtesting vs Live Trading​

  • Backtesting looks great: Crossover signals clear, buy/sell symmetrical
  • Live trading note: Crossover is post-confirmation, may have slippage

Suggested Process:

  1. Backtest 3 months of data first
  2. Paper trade for 1-2 weeks
  3. Small position live testing
  4. Compare effectiveness with STRATEGY_RSI_BB_BOUNDS_CROSS

Don't go all-in right away, no matter how good the strategy, it needs tuning!

XI. Easter Egg: The Strategy Author's "Little Thoughts"​

Looking carefully at the code, you'll find some interesting things:

  1. Perfect Symmetry: Buy and sell conditions correspond one-to-one, the author must have OCD

    "Symmetry is beauty, buying and selling both"

  2. Trend Confirmation Matches RSI Period: _trend_length = 14, same as RSI period

    "Using RSI's period to confirm trend, logical loop closed"

  3. Bollinger Band Window Uses 20: More standard than STRATEGY_RSI_BB_BOUNDS_CROSS's 14

    "Standard Bollinger Band setting, classic never goes out of style"

  4. RSI Limit 30: rsi_limit = 30, using oversold line as percentage lower bound

    "Below oversold doesn't count, above oversold is the market"

XII. The Very Last Thing​

One-Sentence Review​

"Percentage crossover, symmetrical buy/sell, elegant solution for oscillating markets."

Who Should Use It?​

  • ✅ Oscillating market lovers
  • ✅ People who like symmetrical logic
  • ✅ People interested in normalization methods
  • ✅ People who can accept signal lag

Who Should NOT Use It?​

  • ❌ People seeking instant entry
  • ❌ One-way trend seekers
  • ❌ People who need trailing profit
  • ❌ People who don't like crossover signal lag

Suggestions for Manual Traders​

If you're trading manually, you can use this strategy's concept like this:

  1. Calculate BB%: (Price - Lower Band) / (Upper Band - Lower Band)
  2. Calculate RSI%: (RSI - 30) / 40
  3. Wait for Crossover: BB% crosses above RSI% and both < 0.5 → Buy
  4. Wait for Crossover: BB% crosses below RSI% and both > 0.5 → Sell
  5. Trend Confirmation: 14 consecutive candles maintaining trend before crossover

XIII. ⚠️ Risk Re-emphasis (Must Read Section)​

Backtesting is Beautiful, Live Trading Needs Caution​

STRATEGY_RSI_BB_CROSS's historical backtest performance may be quite good — but there's a trap:

Crossover signals are post-confirmation, meaning you're always one step behind the optimal entry point.

Simply put: "When you see the crossover, the best price has already passed."

Hidden Risks of Percentage Crossover​

In live trading, percentage calculation may lead to:

  • Signal Lag: Crossover needs confirmation, not an instant signal
  • Zone Boundary Blurriness: Judgments near 0.5 may change frequently
  • Repeated Triggering in Oscillation: Back-and-forth crossovers may eat up fees

My Suggestion (Heartfelt Words)​

1. Oscillating coins first, trend coins avoid
2. Add trailing stop, lock in floating profit
3. Accept signal lag, don't pursue perfect entry
4. Compare test with STRATEGY_RSI_BB_BOUNDS_CROSS

Remember: No matter how good the strategy, crossover signals are always post-confirmation. Light position testing, staying alive is most important! 🙏

Final Reminder: Percentage comparison is a genius idea, but genius ideas also need live verification. Good luck! 🍀