Here is a simple and common breakout system that might work well on some pairs in an EA, if anyone is willing to code it. This system trades breakouts, but only after a retrace in price, which is common. One downside is that this system will miss moves that do not retrace after a breakout, but retraces are more common than not. If anyone knows of an EA similar to this, I am interested in testing it. Thanks.
The adjustable parameters a-e need to be optimized for each pair depending on the chosen timeframe.
Establish a basic aBar price channel
Entries: Enter long on next open if (1) a close is above the aBar channel and (2) price hits a new bBar low within cBars of the breakout. Enter short on the opposite. No multiple entries allowed.
Stops: Initially % of account, then move stop to breakeven when price moves dATR in profit.
Exit: Exit long on the close if the current high is greater than the highest high for the previous eBars. Opposite for short.
Optional to only trade long/short signals.
The adjustable parameters a-e need to be optimized for each pair depending on the chosen timeframe.
Establish a basic aBar price channel
Entries: Enter long on next open if (1) a close is above the aBar channel and (2) price hits a new bBar low within cBars of the breakout. Enter short on the opposite. No multiple entries allowed.
Stops: Initially % of account, then move stop to breakeven when price moves dATR in profit.
Exit: Exit long on the close if the current high is greater than the highest high for the previous eBars. Opposite for short.
Optional to only trade long/short signals.