Strategies / Momentum / DEMA Spread Momentum Hold

DEMA Spread Momentum Hold

Buys when the 4 period double exponential average sits more than 0.2 percent above the 8 period one, measured against their average. Closes the long when the gap falls below -0.2.

MomentumLong onlyIntradayDAX 4030 min

1.41Profit factor

23,166Net profit EUR

47.22%Win rate

826Trades

-4,369Max drawdown

28.05Avg trade

Best run of 44. DAX 40, 30 min, spread 3, from run pf:2026-10-04-DAX40-30m.tsv:3.

Entry rules, long

Signals are only checked after bar 30.

Exit rules

The same percentage gap is below -0.2, closing the long.

Test conditions

Period	Up to 2026-10-04
Instrument	DAX 40, 30 minutes
Spread	3 points
Starting capital	1,000,000
Costs	Spread only. Commissions and overnight financing are not included.
Bars	Up to 200,000 bars, fewer where the instrument has less history
Last tested	2026-10-04

Every run

Markets and timeframes tested

Market	Timeframe	PF	Trades	Win %	Net	Max DD
DAX 40Best run	30 min	1.41	826	47.22	23,166 EUR	-4,369
Gold	4 hours	1.30	848	48.35	2,800 EUR	-699
USD/JPY	30 min	n/a	74	56.76	620,440 USD	-144,050
USD/JPY	15 min	n/a	29	51.72	307,650 USD	-199,290
USD/JPY	4 hours	n/a	387	44.70	275,820 USD	-255,480
USD/JPY	3 min	n/a	5	80.00	141,520 USD	-82,660
USD/JPY	2 min	n/a	2	50.00	79,640 USD	-38,220
EUR/USD	4 hours	n/a	447	44.97	50,914 USD	-29,061
Nikkei 225	30 min	n/a	996	45.78	41,793 USD	-13,433
Nikkei 225	15 min	n/a	430	46.05	39,449 USD	-10,300
Nikkei 225	5 min	n/a	134	53.73	28,794 USD	-10,816
Nikkei 225	10 min	n/a	239	46.86	26,012 USD	-9,316
Nikkei 225	1 hour	n/a	1,136	43.75	25,529 USD	-12,779
Silver	5 min	n/a	607	48.11	24,544 USD	-20,746
Silver	2 min	n/a	427	44.50	23,944 USD	-20,227
Nikkei 225	4 hours	n/a	895	45.70	23,595 USD	-10,140
Dow Jones	1 hour	n/a	272	48.16	22,953 EUR	-8,899
Silver	4 hours	n/a	1,360	43.01	21,691 USD	-12,482
Silver	10 min	n/a	878	45.33	21,034 USD	-10,035
Dow Jones	Daily	n/a	795	43.77	20,485 EUR	-7,206
Nikkei 225	3 min	n/a	78	53.85	20,084 USD	-10,141
Nikkei 225	2 min	n/a	29	55.17	17,544 USD	-7,002
Nasdaq 100	30 min	n/a	967	44.67	17,346 EUR	-5,440
Nasdaq 100	1 hour	n/a	1,397	39.58	12,946 EUR	-4,123
Nasdaq 100	4 hours	n/a	997	45.84	12,067 EUR	-4,736
DAX 40	1 hour	n/a	1,219	42.25	10,885 EUR	-5,947
Nasdaq 100	15 min	n/a	578	44.64	10,403 EUR	-4,178
Dow Jones	30 min	n/a	281	40.93	9,838 EUR	-9,721
DAX 40	Daily	n/a	878	41.80	8,350 EUR	-4,260
DAX 40	4 hours	n/a	969	44.58	7,446 EUR	-4,428
Brent Crude	4 hours	n/a	838	44.75	6,935 EUR	-3,926
DAX 40	5 min	n/a	36	52.78	4,828 EUR	-3,375
FTSE 100	30 min	n/a	483	47.83	4,438 EUR	-3,233
DAX 40	15 min	n/a	309	43.69	4,389 EUR	-4,105
S&P 500	1 hour	n/a	950	41.58	3,038 EUR	-1,284
Gold	Daily	n/a	735	44.22	2,535 EUR	-1,284
S&P 500	30 min	n/a	574	45.12	2,159 EUR	-1,453
Gold	10 min	n/a	145	46.90	1,851 EUR	-841
Gold	5 min	n/a	73	54.79	1,707 EUR	-725
Gold	30 min	n/a	521	46.83	1,510 EUR	-915
S&P 500	3 min	n/a	21	42.86	1,377 EUR	-853
FTSE 100	5 min	n/a	11	63.64	997 EUR	-604
S&P 500	1 min	n/a	3	100.00	681 EUR	-307
S&P 500	2 min	n/a	4	100.00	567 EUR	-412

Charts

Results by run

Top 10 of 44 runs. The full list is in the table above.

Above 1.0 made money, below 1.0 lost money.

The code

ProBuilder code, as tested

// ==============================================================
// DEMA Spread Momentum Hold
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Momentum
// Direction: Long only
// Timeframe tested: 30 minutes
// ==============================================================

DEFPARAM CumulateOrders = false

emashort = ExponentialAverage[4](close)
demashort = 2 * emashort - ExponentialAverage[4](emashort)
emalong = ExponentialAverage[8](close)
demalong = 2 * emalong - ExponentialAverage[8](emalong)
diff = 100 * (demashort - demalong) / ((demashort + demalong) / 2)

13 more lines: the entry and exit rules.

Setup

How to load it

Copy the code with the copy button on the code block.
In ProRealTime, open a chart of the instrument and timeframe you want to test, then open ProOrder > New trading system and choose "Create with programming".
Paste the code, give the system a name and save it.
Click "Backtest", set your own spread and position size, and run it before you consider trading it live.

Indicators used

EMA

Longer historyRe-run on up to 1,000,000 barsDAX 40 · 30 min · older data 11,575.00 EUR

On the long run with 228,000 bars the net result was 34,741 EUR, against 23,166 EUR on the standard 200,000-bar run. The older data alone gave 11,575 EUR.

DAX 40 · 30 min

Bars available	228,000
Net, standard 200,000-bar run	23,165.60 EUR
Net, long run	34,740.60 EUR
Net on the older data alone	11,575.00 EUR

Read this firstKnown weaknesses2 points

The code sets no stop loss, so a losing trade stays open until an exit signal arrives.
Results include the spread only. Commissions and overnight financing are not included.

Questions

About this strategy

Can I run DEMA Spread Momentum Hold in ProOrder?

Yes. The code is ProBuilder and runs as an automated ProOrder system. Backtest it on your own account with your own spread and position size before trading it live.

Which markets was it tested on?

It was tested on 44 market and timeframe combinations. The best run was DAX 40, 30 minutes, with a profit factor of 1.41 over 826 trades.

How large was the drawdown?

The best run had a maximum drawdown of 4,369 EUR at the tested position size, against a net result of 23,166 EUR.

Does it trade long, short or both?

It only takes long trades.

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Past backtest results do not guarantee future results. This is not financial advice. Curated and maintained by ProRealAlgos. ProRealTime™ is a trademark of ProRealTime SAS. prorealalgos.com Stats Docs