OPEN-SOURCE SCRIPT
已更新 3 Red / 3 Green Strategy with Volatility Check
Strategy Name: 3 Red / 3 Green Strategy with Volatility Check by AlgoTradeKit
Overview
This long-only strategy is designed for daily bars on NASDAQ (or similar instruments) and combines simple price action with a volatility filter. It “tells it like it is” – enter when the market shows weakness, but only in sufficiently volatile conditions, and exit either on signs of a reversal or after a set number of days.
Entry Conditions
- Price Action:
Enter a long position when there are 3 consecutive red days (each day's close is below its open).
- Volatility Filter:
The entry is allowed only if the current ATR (Average True Range) calculated over the specified ATR Period (default 12) is greater than its 30-day simple moving average. This ensures the market has enough volatility to justify the trade.
Exit Conditions
- Reversal Signal:
Exit the long position when 3 consecutive green days occur (each day's close is above its open), signaling a potential reversal.
- Time Limit:
Regardless of market conditions, any open trade is closed if it reaches the Maximum Trade Duration (default 22 days). This helps limit exposure during stagnant or unfavorable market conditions.
- You can toggle the three-green-day exit if you want to isolate the time-based exit.
Input Parameters
- Maximum Trade Duration (days): Default is 22 days.
- ATR Period: Default is 12.
- Use 3 Green Days Exit: Toggle to enable or disable the three-green-day exit condition.
How It Works
1. Entry: The strategy monitors daily price action for 3 consecutive down days. When this occurs and if the market is volatile enough (current ATR > 30-day ATR average), it opens a long position.
2. Exit: The position is closed if the price action reverses with 3 consecutive up days or if the trade has been open for the maximum allowed duration - i.e. use it on daily chart.
Risk Management
- The built-in maximum trade duration prevents trades from lingering too long in a non-trending or consolidating market.
- The volatility filter helps ensure that trades are only taken when there is sufficient price movement, potentially increasing the odds of a meaningful move.
Disclaimer
This strategy is provided “as is” without any warranties. It is essential to backtest and validate the performance on your specific instrument and market conditions before deploying live capital. Trading involves significant risk, and you should adjust parameters to match your risk tolerance.
Test and tweak this strategy to see if it fits your trading style and market conditions. Happy trading!
Overview
This long-only strategy is designed for daily bars on NASDAQ (or similar instruments) and combines simple price action with a volatility filter. It “tells it like it is” – enter when the market shows weakness, but only in sufficiently volatile conditions, and exit either on signs of a reversal or after a set number of days.
Entry Conditions
- Price Action:
Enter a long position when there are 3 consecutive red days (each day's close is below its open).
- Volatility Filter:
The entry is allowed only if the current ATR (Average True Range) calculated over the specified ATR Period (default 12) is greater than its 30-day simple moving average. This ensures the market has enough volatility to justify the trade.
Exit Conditions
- Reversal Signal:
Exit the long position when 3 consecutive green days occur (each day's close is above its open), signaling a potential reversal.
- Time Limit:
Regardless of market conditions, any open trade is closed if it reaches the Maximum Trade Duration (default 22 days). This helps limit exposure during stagnant or unfavorable market conditions.
- You can toggle the three-green-day exit if you want to isolate the time-based exit.
Input Parameters
- Maximum Trade Duration (days): Default is 22 days.
- ATR Period: Default is 12.
- Use 3 Green Days Exit: Toggle to enable or disable the three-green-day exit condition.
How It Works
1. Entry: The strategy monitors daily price action for 3 consecutive down days. When this occurs and if the market is volatile enough (current ATR > 30-day ATR average), it opens a long position.
2. Exit: The position is closed if the price action reverses with 3 consecutive up days or if the trade has been open for the maximum allowed duration - i.e. use it on daily chart.
Risk Management
- The built-in maximum trade duration prevents trades from lingering too long in a non-trending or consolidating market.
- The volatility filter helps ensure that trades are only taken when there is sufficient price movement, potentially increasing the odds of a meaningful move.
Disclaimer
This strategy is provided “as is” without any warranties. It is essential to backtest and validate the performance on your specific instrument and market conditions before deploying live capital. Trading involves significant risk, and you should adjust parameters to match your risk tolerance.
Test and tweak this strategy to see if it fits your trading style and market conditions. Happy trading!
版本注释
Updated default account size and pyramiding value.开源脚本
本着TradingView的真正精神，此脚本的创建者将其开源，以便交易者可以查看和验证其功能。向作者致敬！虽然您可以免费使用它，但请记住，重新发布代码必须遵守我们的网站规则。
免责声明
这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。
开源脚本
本着TradingView的真正精神，此脚本的创建者将其开源，以便交易者可以查看和验证其功能。向作者致敬！虽然您可以免费使用它，但请记住，重新发布代码必须遵守我们的网站规则。
免责声明
这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。