Fair Value Gap strategyvsMACD trend with ADX strength filter strategy
Fair Value Gap strategy: Buy the imbalance bar of a fresh bullish FVG; short the mirror. Exit when the gap fills. Β· MACD trend with ADX strength filter strategy: Take MACD long crossovers only when ADX confirms a trend actually exists.
Fair Value Gap strategy
Buy the imbalance bar of a fresh bullish FVG; short the mirror. Exit when the gap fills.
MACD trend with ADX strength filter strategy
Take MACD long crossovers only when ADX confirms a trend actually exists.
Indicators
- Fair Value Gap (min gap 0.1%)
- MACD (12 / 26 / 9)
- ADX (period 14)
Timeframes
Bias
Long & short
Long only
Market fit
Range-bound
Filtered, selective
Entry rules
- Long on the bar a bullish FVG opens (bull_signal > 0).
- Short on a bearish FVG.
- MACD line crosses above signal AND
- ADX(14) is above 20 β there's a real trend, not just chop.
Exit rules
- Position closes the bar the gap is filled (rebalanced).
- 4% trailing stop, 3-bar cooldown.
- MACD line crosses below signal.
- Hard 4% stop; 3% trailing stop locks in winners.
Expected behavior
Momentum-into-imbalance β fires on explosive bars, exits when the imbalance reverts. Equity curve is choppy with frequent small trades; works best when price respects imbalances and gives the bot a chance to ride the displacement.
Trades less frequently than vanilla MACD because the ADX gate sits open only in directional regimes. Equity curve is flatter through chop and adds when a sustained trend kicks in.
Complexity
Which one is right for you?
Derived from the bias, timeframe and indicator profile of each strategy β not a back-test forecast.
When to pick Fair Value Gap strategy
- You expect range-bound β the thesis is "Buy the imbalance bar of a fresh bullish FVG; short the mirror. Exit when the gap fills."
- You want a long & short bot on 5mβ4h candles with a balanced rule-set.
- You're comfortable monitoring 1 indicator (Fair Value Gap (min gap 0.1%)).
Buy the imbalance bar of a fresh bullish FVG; short the mirror. Exit when the gap fills.
When to pick MACD trend with ADX strength filter strategy
- You expect filtered, selective β the thesis is "Take MACD long crossovers only when ADX confirms a trend actually exists."
- You want a long-only bot on 1hβ1d candles with a balanced rule-set.
- You're comfortable monitoring 2 indicators (MACD (12 / 26 / 9), ADX (period 14)).
Take MACD long crossovers only when ADX confirms a trend actually exists.
Fair Value Gap strategy
Buy the imbalance bar of a fresh bullish FVG; short the mirror. Exit when the gap fills.
MACD trend with ADX strength filter strategy
Take MACD long crossovers only when ADX confirms a trend actually exists.
Related comparisons
Other pairings that involve one of these strategies.
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