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Livermore-Seykota Breakout Strategy

2 000
Strategy Name: Livermore-Seykota Breakout Strategy

Objective: Execute breakout trades inspired by Jesse Livermore, filtered by trend confirmation (Ed Seykota) and risk-managed with ATR (Paul Tudor Jones style).

Entry Conditions:

Long Entry:

Close price breaks above recent pivot high.

Price is above main EMA (EMA50).

EMA20 > EMA200 (uptrend confirmation).

Current volume > 20-period SMA (volume confirmation).

Short Entry:

Close price breaks below recent pivot low.

Price is below main EMA (EMA50).

EMA20 < EMA200 (downtrend confirmation).

Current volume > 20-period SMA.

Exit Conditions:

Stop-loss: ATR × 3 from entry price.

Trailing stop: activated with offset of ATR × 2.

Strengths:

Trend-aligned entries with volume breakout confirmation.

Dynamic ATR-based risk management.

Inspired by principles of three legendary traders.

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