A Little Breakout Here and There

This thread is dedicated to an idea of breakout that I have had in mind but that I never came to operate seriously. I think it would fit beautifully with automatic systems, but unfortunately I do not have programming skills to develop it more. It looks quite like a Donchian-style breakout. The basic rules are like this: Long: if the closing of the current candle is above the maximum of the previous 2 candles, you enter by breaking this candle. Short: if the closing of the current candle is below the minimum of the previous 2 candles, you enter by breaking this candle. If the operation does not run on the next candle, it is cancelled. Take Profit and Stop Loss: both are defined according to the value of the ATR(50

In the second example above, you can see that according to the rules, breakouts 1, 4, 5, 6 and 7 were valid and would have reached at least 1x the ATR. Breakouts 2 and 3 were not activated in the sail immediately afterwards and were therefore cancelled.

Obviously there will be losses, especially in times of consolidation, but the beauty of this method is that breakout acts as a filter and can place you right at the beginning of large movements, where several good operations can be chained. I invite everyone to backtest this and experience, especially with the temporalities, the best moments of the day to enter, and the placement of stop and target.

Live operation, see how it goes.

It's quite interesting the method... well done... I like it.

Thank you.

Simple mechanical system that doesn�t need interpretation, I think it has a lot of potential. In the long run it probably has less than 50% of successes, which is why it takes a lot of discipline and a good risk-benefit ratio. When you test it in demo, you could use an operations copier and set up several accounts to test different RRs using ATR. Monitor your success rate and RR, and I�m sure it can work. I�ll give you a graph of how much you need to earn according to your RR to stay in break even. For example, with a RR of 1:2 you need to earn only 34% to not lose money. Something to keep in mind.

Live operation on AUD/USD.

Thank you. Dear generous coders, please, can anyone make an indicator for these signals? Greetings.

That's why I'm open to any suggestion to refine it, reduce losses and make the most of it.