Pivot Breakout Trend Strategy with Percentage Stops and Targets
Summary
This long-oriented trend strategy uses confirmed pivot highs and lows in closing prices to build step-like resistance and support levels. A close above the latest pivot high triggers a long entry, while a close below the latest pivot low marks bearish conditions and can cancel a pending long. Although the chart plots a simple moving average and volume average, the visible entry conditions do not require either average to confirm the trade. The source also contains short-side references, but the short entry logic is commented out.
Risk controls use adjustable percentage stop-loss and take-profit levels, with defaults shown in the script, and the strategy applies a small percentage commission. It may also close a profitable long when its support and resistance series meet the script's exit condition. The accompanying description calls the setup an uptrend strategy and discusses possible target behavior, but provides no backtest statistics or tested market and timeframe. Pivot confirmation requires bars on both sides, so signals are delayed; the document does not establish durable performance.
Key ideas
- A confirmed pivot high becomes a stepped resistance level, and a close above it can trigger a long entry.
- A close below the latest pivot low marks bearish conditions and cancels long orders.
- The script plots a simple moving average and volume average, but these are not active entry filters.
- Percentage stop and target levels are configurable, while short entries are disabled in the supplied source.
- No performance results or validation details are supplied.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.