Fibonacci Retracement Entries with Moving Average Filters and Fixed Exits
Summary
This strategy calculates a Fibonacci retracement level from the highest high and lowest low over a configurable lookback. It enters long when the closing price crosses below the long retracement level, or short when it crosses above the short level. Optional filters require price to be above both a simple and an exponential moving average for long trades, or below both for shorts.
Trade management uses a fixed stop distance in ticks, a take-profit target based on a risk-to-reward setting, and an optional break-even stop that moves the stop to entry after a configurable favorable move. The script plots trade levels and labels outcomes in a dashboard. The document provides code and parameter defaults, but no performance results or market-specific evaluation. Entries are based on bar closes, while exits are detected from bar highs and lows; the supplied description does not establish that the strategy is profitable or suitable across markets and timeframes.
Key ideas
- The strategy derives long and short retracement levels from a rolling price range.
- A close crossing a retracement level triggers an entry, subject to optional dual moving-average direction filters.
- Stops use a fixed tick distance, while profit targets scale that distance by a configurable reward ratio.
- A favorable move can shift the stop to the entry price, and chart lines and counters display trade state and outcomes.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.