Intraday Support and Resistance Breakouts with Volume and ATR Stops

Summary

This five-minute intraday strategy enters long when price crosses above a confirmed pivot resistance level and short when it crosses below pivot support. It requires elevated volume, a directional filter relative to an exponential moving average, a candle-shape condition, a confirmed bar, and an allowed trading time. ATR-based trailing stops manage open positions, while a cash-denominated intraday loss limit and scheduled end-of-day closure constrain exposure.

The description reports a six-month test on TCS with 100 closed trades and gives profitability, profit factor, net profit, Sharpe, and Sortino figures, alongside one set of tuned inputs. These are author-reported results for one stock and period, not independent validation. The stated default parameters differ from the reported test settings, and the strategy’s Indian-market session and order assumptions may not transfer to other markets. Pivot confirmation also requires future bars, so signals depend on the chosen pivot lengths.

Key ideas

• The strategy trades confirmed breaks above pivot resistance or below pivot support.
• Volume expansion, EMA positioning, candle shape, and trading hours filter entries.
• ATR multiples set trailing stops, while a cash loss cap and scheduled close limit intraday exposure.
• The document reports a single-stock, six-month backtest whose results may not generalize.

Tags

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