Hoffman Retracement Signals with Trend and ATR-Based Stops
Summary
This scalping indicator combines moving-average alignment with candle retracement levels to generate long and short signals. It identifies a broader direction from several simple and exponential moving averages, then looks for a bar that retraces by a configurable fraction of its range. A volume oscillator can be enabled as a confirmation filter. The indicator also plots suggested entry, stop-loss, and take-profit levels, with stop placement configurable around a moving average or using average true range; a risk-reward setting determines the corresponding target.
The document presents trend-aligned retracements and adjustable risk controls as potential uses, but reports no backtest or live trading evidence. The volume filter is optional, and parameters such as retracement size, average lengths, ATR settings, and entry threshold require user choices. As with other indicator-based scalping methods, the displayed signals and levels do not establish profitability, and rapid market moves or execution costs may affect results.
Key ideas
- The indicator looks for configured candle retracements that align with moving-average trend conditions.
- An optional volume oscillator can be used to filter entry signals.
- Stops can be based on a moving average or ATR, while take-profit levels use a configurable risk-reward relationship.
- The document provides no backtest or live performance evidence for the signals.
- Retracement, moving-average, ATR, and threshold settings must be selected by the user.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.