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The effectiveness of technical trading rules in cryptocurrency markets

Author

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  • Corbet, Shaen
  • Eraslan, Veysel
  • Lucey, Brian
  • Sensoy, Ahmet

Abstract

We analyse various technical trading rules in the form of the moving average-oscillator and trading range break-out strategies to specifically test resistance and support levels and their trading performance using high-frequency Bitcoin returns. Overall, our results provide significant support for the moving average strategies. In particular, variable-length moving average rule performs the best with buy signals generating higher returns than sell signals.

Suggested Citation

  • Corbet, Shaen & Eraslan, Veysel & Lucey, Brian & Sensoy, Ahmet, 2019. "The effectiveness of technical trading rules in cryptocurrency markets," Finance Research Letters, Elsevier, vol. 31(C), pages 32-37.
    • Handle: RePEc:eee:finlet:v:31:y:2019:i:c:p:32-37
    DOI: 10.1016/j.frl.2019.04.027
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    References listed on IDEAS

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