Breakout Bars Trend EA: Reversal Entries and False-Signal Filtering
Summary
This MetaTrader Expert Advisor uses a custom Breakout Bars Trend indicator to trade trend reversals. It opens a position when the indicator changes direction, or can wait until the current reversal follows a configured number of false signals. A signal is classified as false when the close-price movement between the first bars of successive trends is unfavorable under the document’s directional test. Positions close when the trend reverses again or when stop-loss or take-profit is reached.
The EA parameters include reversal mode, a minimum reversal distance, the false-signal count, stop-loss, take-profit, and lot size. Reversal thresholds and protective levels must use matching units: pips or percentages. The page mentions EUR/USD hourly testing for 2012 with a percentage reversal setting and compares entries on every reversal with entries after three false signals. It supplies no numerical results or risk statistics, so the comparison cannot establish profitability or robustness beyond that stated test setup.
Key ideas
- The EA enters trades when its indicator signals a trend reversal.
- A configurable count of preceding false signals can be required before entry.
- A false signal is defined using the direction of the close-price change between trend bars.
- Positions exit on a further trend change or through stop-loss or take-profit.
- Reversal thresholds and risk limits must use consistent pip or percentage units.
- The document describes a EUR/USD hourly test setup but reports no performance figures.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.