MACD Momentum Strategy

This is a discussion of the "MACD Momentum" strategy.

Overview

  • Long call diagonal
  • 2 legs

MACD Momentum Strategy Settings

  • MACD Momentum Strategy utilizes a custom strategy which is labeled "qa_Diagonal_50-20_CS" under the custom strategy dropdown menu.

MACD Momentum Open Conditions:

  • RSI 14 Days below 40
  • Fast EMA 12 Days Slow EMA 26 days above signal EMA 9 days

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Details on Options TradeMachine is Selecting for MACD Momentum Strategy:

  • 1x long 50 delta call near 60 days to expiration
  • 1x short 20 delta call near 30 days to expiration

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Earnings Handling for MACD Momentum Strategy:

MACD Momentum Close Conditions:

  • Options reach expiration (Close all legs with front month options)

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Open next trade for MACD Momentum:

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Video Transcript