Body Close Outside Prior Body with BOS Direction and Trade Limits

Summary

This strategy combines a candle-body pattern with a market-structure direction filter calculated on a selectable higher or lower timeframe. Its name indicates that entries depend on a candle body closing outside the prior candle’s body, while the available source excerpt shows a break-of-structure filter built from pivot highs and lows. A bullish structure break sets the permitted direction long; a bearish break permits short trades. The excerpt also defines configurable stop placement using candle bodies or wicks, cash risk per trade, a maximum contract count, and a risk/reward multiple.

Additional controls include a trading session, daily profit and loss thresholds, a maximum losing streak, and a cooldown after exits. The script excerpt ends partway through the signal logic, so the exact pattern conditions, order sizing calculations, exits, and full execution behavior cannot be verified from this document. It provides parameter definitions and code, but no market, backtest period, performance statistics, or evidence that the controls work as intended.

Key ideas

• Entries are intended to combine a body-close pattern with the direction of a market-structure break.
• Pivot highs and lows on a selected timeframe define structure breaks and update the permitted trade direction.
• Risk controls include selectable stop references, cash risk, a contract cap, and a risk/reward setting.
• Session timing, daily profit and loss limits, losing-streak limits, and an exit cooldown restrict trading.
• The supplied code is truncated before the complete entry and exit logic, and includes no performance evidence.

Tags

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