Supply & Demand, MACD Momentum Filter Strategy

Discover a Supply & Demand strategy for any market and timeframe, enhanced with a MACD momentum filter. Identify high-probability setups by confirming zone brea

Published · Updated · Methodology: Technical Indicators

Part of: Supply & Demand Zones

  • Methodology: Technical Indicators
  • Content type: strategy
  • Timeframes: Any timeframe, 15 minute
  • Markets: Any market, Gold

Indicators used

  • Flux Charts Supply and Demand Indicator
  • MACD

Source video

Decoded from: Supply & Demand Strategy on TradingView — The Momentum Filter Every Trader Needs [2025] by TradeGenius — watch the original

Key timestamps:

  • 0:10 - Introduction to supply and demand zones
  • 1:25 - Introduction to the Flux Charts Supply and Demand indicator
  • 1:50 - The trap of trading zones without momentum
  • 2:10 - Introduction to MACD as a momentum filter
  • 2:25 - MACD settings for momentum filter
  • 3:10 - How to interpret the modified MACD
  • 3:35 - MACD cuts out 70% of bad trades
  • 3:50 - Example of escaping a bad trade with MACD
  • 4:50 - Example of a valid trade with MACD confirmation

Strategy overview

Supply and demand zones mark the areas where earlier imbalances between buyers and sellers left a footprint, and price often reacts when it returns to them. What this entry is really about is the problem that shows up immediately after you accept that premise: a chart marked with zones gives you far more reactions than you can reasonably trade, and no zone tells you whether the market currently has the strength to respect it. The source video names that failure directly — trading zones without momentum — and builds its whole argument around adding a second, independent condition.

The TradeGenius video pairs the zones with the Flux Charts Supply and Demand indicator, which draws and refreshes them automatically as new price action arrives. That choice quietly relocates the difficulty. When zone drawing is automated, the trader's judgment is no longer spent on where to place the box; it is spent on deciding which of the boxes deserve attention. The video's answer is MACD, but used against its usual grain: not as a crossover trigger, but reconfigured and reinterpreted as a directional momentum reading laid alongside the zones. Most of the runtime, by the video's own chapter structure, goes to that reconfiguration and to how to read the result.

That makes this a confluence video rather than a zone-drawing video, and the honest caveat belongs to filters generally: every filter that removes bad trades at a zone also removes some good ones, and a momentum reading built on slow averages will confirm late by construction. No rule set was extracted for this entry, so what is on offer here is the concept and the source's framing — the zones as the location, the momentum overlay as the permission to act on it.

Topics

supply demand strategy · macd strategy · momentum trading · tradingview strategy · pine script · technical indicators · gold trading strategy · 15 minute strategy · trading strategy · price action · any market strategy

Frequently asked questions

Why combine supply and demand zones with a momentum filter?

Zones identify where price may react, but not whether the market has the strength to follow through. A momentum filter adds a second, independent condition so that only zones aligned with the prevailing momentum are acted on, which is the argument the source video makes.

Can MACD be used as a filter instead of an entry signal?

Yes. MACD is most commonly traded as a crossover signal, but it can also be reconfigured and read purely as a directional momentum gauge that confirms or vetoes a setup generated elsewhere. The source video takes this second approach and dedicates most of its runtime to how to set up and interpret it that way.

What does an automatic supply and demand indicator change?

It removes the discretionary drawing step by detecting zones and updating them as fresh price action develops. The judgment does not disappear, it moves downstream: instead of deciding where to draw a zone, you decide which detected zones are worth trading.

What is the downside of adding a momentum filter to a zone strategy?

Filters cut both ways. Requiring momentum confirmation removes trades at zones the market was never going to respect, but it also removes valid reversals that begin before momentum turns, and slower momentum readings confirm with a lag by design. Whether the trade-off is worth it depends on testing it on historical data yourself.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

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