OPEN-SOURCE SCRIPT
Zaktualizowano

Breakout Strategy

The strategy aims to capture upward price movements (breakouts) by observing when the price exceeds a predefined range, known as the Donchian Channel, while also ensuring trading volume supports the move.

When Does It Open a Long Trade?

The strategy opens a long trade (buy position) when both of these conditions are met:

1. Price Breaks Above the Upper Band
- The current closing price is higher than the Upper Band of the Donchian Channel.
- This indicates a potential breakout, signaling upward momentum.

2. High Volume Confirmation
- The current trading volume is greater than 1.9 times the average volume over the Donchian Channel's length.
- This ensures the breakout is backed by significant market activity, reducing the chance of false signals.

Only when both conditions are true, the strategy will execute a long entry.

When Does It Close the Trade?
The strategy closes the long trade (exits the position) when:

1. Price Falls Below the Middle Band
- The closing price drops below the Middle Band of the Donchian Channel.
- This acts as a reversal signal, suggesting the upward momentum has weakened, and it’s time to exit the trade.
Informacje o Wersji
The strategy aims to capture upward price movements (breakouts) by observing when the price exceeds a predefined range, known as the Donchian Channel, while also ensuring trading volume supports the move.

When Does It Open a Long Trade?

The strategy opens a long trade (buy position) when both of these conditions are met:

1. Price Breaks Above the Upper Band
- The current closing price is higher than the Upper Band of the Donchian Channel.
- This indicates a potential breakout, signaling upward momentum.

2. High Volume Confirmation
- The current trading volume is greater than 1.9 times the average volume over the Donchian Channel's length.
- This ensures the breakout is backed by significant market activity, reducing the chance of false signals.

Only when both conditions are true, the strategy will execute a long entry.

When Does It Close the Trade?
The strategy closes the long trade (exits the position) when:

1. Price Falls Below the Middle Band
- The closing price drops below the Middle Band of the Donchian Channel.
- This acts as a reversal signal, suggesting the upward momentum has weakened, and it’s time to exit the trade.
Informacje o Wersji
The strategy aims to capture upward price movements (breakouts) by observing when the price exceeds a predefined range, known as the Donchian Channel, while also ensuring trading volume supports the move.

When Does It Open a Long Trade?

The strategy opens a long trade (buy position) when both of these conditions are met:

1. Price Breaks Above the Upper Band
- The current closing price is higher than the Upper Band of the Donchian Channel.
- This indicates a potential breakout, signaling upward momentum.

2. High Volume Confirmation
- The current trading volume is greater than 1.9 times the average volume over the Donchian Channel's length.
- This ensures the breakout is backed by significant market activity, reducing the chance of false signals.

Only when both conditions are true, the strategy will execute a long entry.

When Does It Close the Trade?
The strategy closes the long trade (exits the position) when:

1. Price Falls Below the Middle Band
- The closing price drops below the Middle Band of the Donchian Channel.
- This acts as a reversal signal, suggesting the upward momentum has weakened, and it’s time to exit the trade.
Informacje o Wersji
New Option added:

Trade Closing Band

Determines the band to use for trade exit conditions.

Option include:
  • "Upper": Exits when the price closes below the upper band of the Donchian Channel.
  • "Lower": Exits when the price closes below the lower band of the Donchian Channel.
  • "Mid": Exits when the price closes below the middle band of the Donchian Channel.


Default Value: Mid
Informacje o Wersji
Added tooltips describing each setting of the strategy
Informacje o Wersji
  • We now calculate upper_band and lower_band first, then shift them back using [lag] to prevent lookahead bias.
  • We now use ta.sma(volume, length)[1] to lock the volume condition to the previous bar, making it stable.
  • We now store the bar index (bar_index) of the first valid entry signal and check it later.
  • Added a debug mode controlled by input.bool so users can toggle it in settings.
  • Added plotshape markers to visualize entry and exit points.

Wyłączenie odpowiedzialności