Fractal Alignment Strategy with Daily Bias and Staged Exits

Summary

This strategy uses three-bar swing patterns as entry signals and filters them with a daily fractal bias. A local bullish fractal occurs when a bar’s low is below the preceding low and the following bar’s low is higher; the bearish version reverses the high comparisons. Trades are restricted to a configurable session and can be limited to a maximum number per direction each day. The daily filter derives directional bias from recent daily highs and lows.

Stops are placed beyond the signal pivot with a configurable buffer, and profit targets are expressed as multiples of the initial stop distance. The script scales out at two targets, moves the remaining stop to entry after the first target, and applies a trailing stop to the final portion. It also includes risk, session, and display settings, plus a performance dashboard and alerts. The supplied material describes the rules but gives no backtest findings. Results may depend on chart timeframe, symbol-specific pip sizing, order-fill assumptions, and the implementation of higher-timeframe data; the code is a strategy template, not evidence that the signals are profitable.

Key ideas

• Local swing fractals generate long or short entries when they agree with the selected daily fractal bias.
• A configurable session window and daily trade-count cap constrain signal frequency.
• The initial stop sits beyond the fractal pivot, with two profit targets set from the stop distance.
• After the first target, the strategy moves the stop to entry and later trails the remaining position.
• The document provides rules and display features but no performance evidence, and results depend on instrument and execution assumptions.

Tags

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