New idea to filter out false trades. Everybody knows the supertrend ATR. However combining the VIDYA value with the trend timing of Nadaraya Watson estimator, it takes the supertrend to the next level. Overall with proper settings, it makes fewer trades with a greater average win per trade and a super high Risk to Reward. I have yet to try and trade this system manually BUT will elaborate further in the future. On the lower time frames, the supertrend is known to signal quite alot of trades. Too many for some traders. This backtest is with a flat 1.0 lots per trade over the last year. Max drawdown was 4.1% with the average trade of 1.91%! Very simple but effective.
. More to discuss soon.