ATR-Filtered Significant Pivot Reversal Entries

Summary

This strategy filters pivot highs and lows by requiring them to stand apart from neighboring bars by an ATR-scaled amount. The ATR length and multiplier control the significance threshold, while separate left and right bar counts define the pivot neighborhood. This is intended to ignore small local extremes that may otherwise qualify as pivots.

After a significant pivot high is confirmed, the strategy places a long stop entry just above that level; after a significant pivot low, it places a short stop just below. The script description says the filter may help in some cases, but provides no performance results or comparative evidence. It also references a separate pivot-point and RSI strategy without explaining it here. Pivot confirmation depends on bars on both sides of the candidate, so signals are inherently delayed; the document does not discuss exits, position sizing, or transaction costs.

Key ideas

• Pivot highs and lows are screened against neighboring bars using an ATR-scaled minimum difference.
• The left and right bar inputs determine the neighborhood used to confirm each candidate pivot.
• A confirmed high triggers a stop entry above the pivot, while a confirmed low triggers one below it.
• The document offers no backtest evidence and does not specify exit or risk-management rules.

Tags

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