EUR/USD Daily-Range Midpoint Entries with Partial Exits and Trailing Stops

Summary

This document presents a rule-based EUR/USD strategy for a 15-minute chart. It calculates a midpoint from recent daily highs and lows, then smooths related upper and lower levels. Long entries require a price crossing above the midpoint alongside a moving-average condition; short entries use the converse conditions. Entries are limited to a specified time window and exclude weekend days.

The position management rules propose multiple limit exits at different distances from entry and a trailing stop based on favorable price movement, alongside a fixed loss stop. The author notes that partial closures do not work in real time and that some trades remain open for a long time, exposing them to overnight charges. The document gives no backtest results, sample-period analysis, or evidence that the rules are profitable. Execution behavior, instrument-specific point values, costs, and the interaction between partial exits and stops require validation before practical use.

Key ideas

• The strategy uses smoothed levels derived from recent daily highs and lows to define entry conditions.
• Long and short entries trigger on midpoint crossings paired with moving-average filters.
• Trading is restricted by time and weekday conditions.
• The rules include staggered profit-taking, a trailing stop, and a fixed loss stop.
• The author reports real-time problems with partial exits and warns about long holding periods and overnight charges.

Tags

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