Strategies / Mean reversion / EMA Deviation Zone Long

EMA Deviation Zone Long

The idea buys when price is 3% or more below a 50 period EMA and closes above the prior close. It closes the long when price is 3% or more above the EMA and closes below the prior close.

Mean reversionLong onlySwingSilverDaily

n/aProfit factor

18,480Net profit USD

67.42%Win rate

89Trades

-9,578Max drawdown

208Avg trade

Best run of 46. Silver, Daily, spread 2, from run sweeps:2026-10-04-SILVER-D-opt.tsv:18.

Entry rules, long

The close is at least 3% below the 50 period EMA, and the previous bar was also at least 3% below it.
No long position is open.

Exit rules

The close is at least 3% above the 50 period EMA, and the previous bar was also at least 3% above it.

Test conditions

Period	Up to 2026-10-04
Instrument	Silver, Daily
Spread	2 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
SilverBest run	Daily	n/a	89	67.42	18,480 USD	-9,578
USD/JPY	4 hours	n/a	4	75.00	569,890 USD	-239,360
USD/JPY	30 min	n/a	1	100.00	569,070 USD	-244,650
USD/JPY	1 hour	n/a	3	66.67	466,420 USD	-269,500
EUR/USD	2 min	n/a	23	52.17	156,711 USD	-51,089
Nikkei 225	1 hour	n/a	16	68.75	29,972 USD	-11,743
Nikkei 225	15 min	n/a	8	75.00	28,970 USD	-5,829
Nikkei 225	30 min	n/a	14	78.57	28,366 USD	-11,908
Dow Jones	Daily	n/a	53	77.36	27,771 EUR	-8,615
Nikkei 225	4 hours	n/a	24	70.83	22,239 USD	-11,500
Nasdaq 100	4 hours	n/a	37	83.78	18,853 EUR	-5,672
Nasdaq 100	1 hour	n/a	21	61.90	17,262 EUR	-5,831
Nasdaq 100	Daily	n/a	60	76.67	13,010 EUR	-3,922
Dow Jones	4 hours	n/a	6	83.33	13,001 EUR	-9,070
DAX 40	Daily	n/a	79	72.15	12,609 EUR	-5,420
Nasdaq 100	30 min	n/a	11	63.64	8,896 EUR	-5,831
Nikkei 225	5 min	n/a	3	100.00	7,456 USD	-4,978
Dow Jones	30 min	n/a	6	66.67	7,394 EUR	-4,570
DAX 40	1 hour	n/a	21	57.14	6,627 EUR	-6,000
FTSE 100	Daily	n/a	41	73.17	6,239 EUR	-3,597
US Crude Oil	10 min	n/a	18	61.11	5,486 EUR	-3,435
Nasdaq 100	10 min	n/a	2	100.00	4,647 EUR	-3,656
Dow Jones	15 min	n/a	4	75.00	3,639 EUR	-2,734
US Crude Oil	3 min	n/a	12	58.33	3,348 EUR	-3,173
S&P 500	Daily	n/a	55	72.73	3,312 EUR	-907
Gold	1 hour	n/a	11	45.45	3,181 EUR	-1,265
FTSE 100	4 hours	n/a	17	70.59	3,146 EUR	-3,026
Dow Jones	10 min	n/a	1	100.00	3,092 EUR	-2,615
Gold	30 min	n/a	3	33.33	3,043 EUR	-1,279
Gold	15 min	n/a	2	50.00	2,989 EUR	-1,488
Dow Jones	3 min	n/a	1	100.00	2,894 EUR	-2,728
Dow Jones	5 min	n/a	1	100.00	2,820 EUR	-2,615
GBP/USD	15 min	n/a	1	100.00	2,724 USD	-1,326
Gold	10 min	n/a	1	100.00	2,448 EUR	-1,629
Gold	4 hours	n/a	31	67.74	2,400 EUR	-667
S&P 500	30 min	n/a	6	83.33	2,218 EUR	-1,314
S&P 500	4 hours	n/a	18	66.67	1,825 EUR	-1,298
Nasdaq 100	5 min	n/a	1	100.00	1,821 EUR	-1,554
DAX 40	10 min	n/a	1	100.00	1,600 EUR	-1,207
S&P 500	1 hour	n/a	13	69.23	1,436 EUR	-1,317
Nasdaq 100	3 min	n/a	1	100.00	1,089 EUR	-550
Gold	Daily	n/a	55	70.91	938 EUR	-856
S&P 500	10 min	n/a	1	100.00	483 EUR	-407
S&P 500	5 min	n/a	1	100.00	427 EUR	-407
FTSE 100	10 min	n/a	1	100.00	399 EUR	-375
S&P 500	3 min	n/a	1	100.00	261 EUR	-147

Charts

Results by run

Top 10 of 46 runs. The full list is in the table above.

Net profitMax drawdown

The code

ProBuilder code, as tested

// ==============================================================
// EMA Deviation Zone Long
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Mean reversion
// Direction: Long only
// Timeframe tested: Daily
// ==============================================================

DEFPARAM CumulateOrders = false

ONCE zone = 0
ONCE prevok = 0
ONCE prevclose = 0

ema = ExponentialAverage[50](close)
diff = close / ema * 100 - 100

35 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

Read this firstKnown weaknesses4 points

No profit factor is available, because only sweep results exist for this strategy.
The best run has only 89 trades, which is a small sample to judge it on.
The maximum drawdown of 9,578 USD is large next to the net profit of 18,480 USD.
The code sets no stop loss, so a losing trade stays open until an exit signal arrives.

Questions

About this strategy

Can I run EMA Deviation Zone Long 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 46 market and timeframe combinations. The best run by trade count was Silver, Daily, with 89 trades.

How large was the drawdown?

The best run had a maximum drawdown of 9,578 USD at the tested position size, against a net result of 18,480 USD.

Does it trade long, short or both?

It only takes long trades.

Reversal Pattern With Chaikin Volatility

Uses the same indicator.

2.26 PF · 6,872 trades

SMA Crossover With RSI Exit

Best run on the same market, Silver.

2.13 PF · 8,999 trades

ATR Band

Also a mean reversion strategy.

10.31 PF · 53 trades

See how ProRealAlgos combines strategies like this into one automated portfolio.

The ProRealAlgos community gets the full rules, the complete code and the automated portfolio.

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