Investing & Trading

Sentiment Zone Strategy

By Samantha Baltodano


What Is The Sentiment Zone Strategy?

The Sentiment Zone strategy is based on values of Sentiment Zone Oscillator (SZO) and their relation with dynamic overbought and oversold levels.


The strategy triggers a buy signal when any of the of the following conditions is fulfilled:


  • The 30-day Simple Moving Average (SMA) of SZO crosses above the zero level and price is higher than its 60-day Exponential Moving Average (EMA).
  • SZO is below the oversold line, its 30-day SMA is rising and price is higher than its 60-day EMA.
  • SZO crosses above the oversold line, its 30-day SMA is positive and 60-day EMA of price is rising.


The strategy triggers a sell order when any of the of the following conditions is fulfilled:


  • The 30-day SMA of SZO crosses below zero.
  • SZO crosses below the "+7" level while its 30 period SMA is declining.



Test The Sentiment Zone Strategy

Great news! 


You can back test this exact strategy on historical data for any of your favorite symbols using TradingView. 


This strategy has already been built and all you have to do is log in and take it for a spin. You can access this indicator here.


If you’re new to back testing and to TradingView, don’t worry. I created a step-by-step guide you can follow to begin testing the Sentiment Zone Strategy.


Sentiment Zone is just one of many strategies that Archaide automates. For a full list of strategies and studies available click here.


Like what you read? Check out the rest of our content!