Adaptive ATR Trend Entries with Seven Staged Profit Targets

Summary

This strategy combines short- and long-period true-range averages with normalized price momentum to create an adaptive ATR. It uses moving-average alignment and a thresholded trend-strength measure to identify directional signals, then confirms them when price is on the expected side of the short average and adaptive ATR exceeds its own moving average. Confirmed signals open long or short positions, while an opposite signal closes the position.

For exits, the strategy places seven partial take-profit orders: four at distances based on ATR and three at fixed percentage moves from average entry price. The script provides adjustable indicators, target distances, and exit fractions, and includes sample commission, slippage, and position-size settings. The document describes the rules and includes a BTCUSD six-hour performance reference, but supplies no performance figures or controlled test details. The target levels and settings are configurable, and the material does not establish that this approach is profitable across instruments or market conditions.

Key ideas

• Momentum magnitude blends short- and long-period true-range averages into an adaptive ATR.
• Trend direction requires moving-average alignment and trend strength beyond a positive or negative threshold.
• Entry confirmation also checks price relative to the short moving average and adaptive ATR relative to its average.
• Positions can scale out through four ATR-distance targets and three fixed-percentage targets.
• The document gives no quantitative performance results or broad validation evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.