A Time-Window Breakout Strategy Using Paired Stop Orders
Summary
This automated strategy records the highest and lowest prices during a two-hour window, from 14:00 to 16:00 terminal time, then places a buy stop at the high and a sell stop at the low. It is intended for the M15 timeframe. The pending orders are placed only when the range between those prices is no more than 50 points. If triggered, a position has a 30-point take-profit target, while its stop loss is set at the opposite trade's price level. Any pending order that remains untriggered is removed at the end of the day.
The document explains the order rules but presents no backtest, market-specific results, or evidence of profitability. It does not specify the instrument, point-value convention, position sizing, or handling when both orders trigger. The terminal-time window and fixed point thresholds may therefore need adjustment and careful testing for a chosen market and broker.
Key ideas
- The strategy places a buy stop at the session-window high and a sell stop at its low.
- It measures the range from 14:00 to 16:00 terminal time and skips entry orders if it exceeds 50 points.
- The recommended chart timeframe is M15.
- A triggered trade uses a 30-point profit target and a stop at the opposite trade's price level.
- Untriggered pending orders are cancelled at the end of the day, and no performance evidence is given.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.