Momentum Strategy icon

Momentum Strategy

Execute momentum trading strategies using the indicatorts library

Overview

This node executes various momentum trading strategies on financial OHLCV (Open, High, Low, Close, Volume) data using the indicatorts library. It supports multiple well-known technical analysis strategies such as Awesome Oscillator, Ichimoku Cloud, RSI2, Stochastic Oscillator, and Williams %R. The node analyzes historical price data to generate trading signals (BUY, SELL, HOLD), which can be used for automated trading decisions or further analysis.

Common scenarios:

  • Traders wanting to automate signal generation based on popular momentum indicators.
  • Analysts backtesting different momentum strategies on historical market data.
  • Integrating strategy signals into larger workflows for portfolio management or alerting.

Practical example:
You provide a JSON array of OHLCV data from your exchange or data provider, select the "RSI2 Strategy," and receive a sequence of BUY/SELL/HOLD signals indicating when the asset is deeply oversold or overbought according to the 2-period RSI indicator.

Properties

Name Meaning
Strategy Select the momentum strategy to apply. Options:
- Awesome Oscillator Strategy
- Ichimoku Cloud Strategy
- RSI2 Strategy
- Stochastic Oscillator Strategy
- Williams %R Strategy
OHLCV Data JSON string containing an array of OHLCV data points. Each data point is expected to be an array with at least 5 elements representing [open, high, low, close, volume].
Date Data Optional JSON string containing an array of dates corresponding to the OHLCV data points. If omitted or invalid, the node uses index-based dates counting backward from current date.
AO Fast Period Fast period parameter for Awesome Oscillator calculation (only shown if Awesome Oscillator Strategy selected). Default: 5
AO Slow Period Slow period parameter for Awesome Oscillator calculation (only shown if Awesome Oscillator Strategy selected). Default: 34
Ichimoku Short Period Short period for Ichimoku Cloud calculation (only shown if Ichimoku Cloud Strategy selected). Default: 9
Ichimoku Medium Period Medium period for Ichimoku Cloud calculation (only shown if Ichimoku Cloud Strategy selected). Default: 26
Ichimoku Long Period Long period for Ichimoku Cloud calculation (only shown if Ichimoku Cloud Strategy selected). Default: 52
Ichimoku Close Period Close period for Ichimoku Cloud calculation (only shown if Ichimoku Cloud Strategy selected). Default: 3
Stochastic K Period K period for Stochastic Oscillator calculation (only shown if Stochastic Oscillator Strategy selected). Default: 14
Stochastic D Period D period for Stochastic Oscillator calculation (only shown if Stochastic Oscillator Strategy selected). Default: 3
Williams %R Period Period for Williams %R calculation (only shown if Williams %R Strategy selected). Default: 14
Options.Return Type Choose output format:
- Actions Only: Return only the strategy actions (BUY/SELL/HOLD)
- With Metadata: Return actions plus additional metadata and analysis
Options.Include Gains Calculation When "With Metadata" is selected, optionally calculate and include strategy gains based on the generated actions (boolean). Default: false

Output

The node outputs an array with one item per input item. Each output item contains a json object structured as follows:

  • strategy: The chosen strategy identifier string.
  • parameters: Object with parameters used for the strategy (e.g., periods).
  • actions: Array of strings representing the trading signals for each data point: "BUY", "SELL", or "HOLD".
  • actionValues: Raw action values as returned by the underlying library (numeric or enum values).
  • If Options.Return Type is set to "metadata":
    • metadata: Object containing summary statistics:
      • totalActions: Total number of actions generated.
      • buySignals: Count of BUY signals.
      • sellSignals: Count of SELL signals.
      • holdSignals: Count of HOLD signals.
      • buyPercentage, sellPercentage, holdPercentage: Percentages of each action type.
      • inputLength: Number of OHLCV data points processed.
      • calculationTimestamp: ISO timestamp of when the calculation was performed.
    • If Options.Include Gains Calculation is true:
      • gains: Array of cumulative gain values calculated from the closing prices and actions.
      • totalGain: Final total gain value.
    • If gains calculation fails, gainsError contains the error message.

No binary data output is produced by this node.

Dependencies

  • Requires the indicatorts npm library for implementing the momentum strategies.
  • Uses n8n's standard node framework and error handling.
  • Input data must be provided as JSON strings representing arrays of OHLCV data and optionally dates.
  • No external API keys or services are required.

Troubleshooting

  • Failed to parse OHLCV data:
    Error occurs if the OHLCV JSON string is invalid or not an array.
    Resolution: Ensure the input JSON string is correctly formatted and represents a non-empty array of OHLCV data points.

  • Unsupported strategy:
    If a strategy value outside the supported list is provided, the node throws an error.
    Resolution: Select one of the predefined strategies in the node options.

  • Date parsing warnings:
    If the optional date data cannot be parsed, the node falls back to generating dates based on the current date minus index days. This is logged as a warning but does not stop execution.

  • Gains calculation errors:
    If enabled, gains calculation may fail due to inconsistent data or internal errors. The error message is included in the output under gainsError.

  • Empty or missing OHLCV data:
    The node requires a non-empty array of OHLCV data; otherwise, it will throw an error.

  • Continue On Fail behavior:
    If enabled, the node will output error messages in the JSON instead of stopping execution on errors.

Links and References

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