Dual Supertrend Signals with Staged Profit Targets

Summary

This strategy uses two Supertrend indicators with different settings and opens positions when both point in the same direction. Traders can select long-only, short-only, or two-sided operation. Its central trade-management feature is a configurable series of up to four limit-based profit targets, each closing a chosen fraction of the entry position at a specified percentage gain or decline. The source also closes positions when the Supertrend conditions reverse.

The document presents illustrative first and second target settings, plus parameter defaults for four target levels, but provides no backtest configuration or performance evidence. Although the prose calls the profit mechanism trailing, the source places limit exits at percentages from entry and does not show those targets moving with price. There is no explicit initial stop-loss; a Supertrend reversal is described as the exit mechanism. Risks include whipsaws in ranging markets, slippage, and overfitting the many adjustable settings.

Key ideas

• A trade signal requires both Supertrend indicators to indicate the same direction.
• Trade direction can be configured as long-only, short-only, or both.
• Partial exits can be distributed across up to four limit profit targets based on entry price.
• The source shows Supertrend reversal exits but no separate initial stop-loss.
• The document reports no tested results and warns about ranging markets, slippage, and over-optimization.

Tags

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