Ranking Breakout Pullbacks and Run-Ups Against Historical Ranges
Summary
This indicator records a breakout structure when price exceeds its running high after at least a chosen number of bars below that high. For each structure it tracks the prior high, the intervening pullback low, the reclaim bar, and the subsequent high. It derives pullback depth and duration, plus post-breakout and low-to-high run-up measures, then compares current readings with the instrument’s own stored history using medians, maxima, and percentile ranks. The author frames pullback and run-up percentiles in opposite ways: unusually deep pullbacks may be interesting to buyers, while unusually extended run-ups may be less attractive.
The document explains chart annotations and configurable thresholds, and notes that the gap setting trades off sample size against including ordinary consolidations. It proposes historical percentiles as an alternative to fixed thresholds and measures the difference between buying at a breakout and waiting for a pullback low. No systematic entry, exit, or risk rules, or independent performance results, are supplied; percentile context alone does not establish a profitable strategy.
Key ideas
- A new high is recorded as a structure only after the prior high has remained unbroken for a minimum number of bars.
- Each structure tracks the old high, pullback low, reclaim point, and subsequent high.
- The indicator ranks pullback and run-up depth and duration against the instrument’s stored history.
- A larger minimum gap reduces the number of observations while focusing on longer pauses and corrections.
- The difference between run-up from the breakout level and from the pullback low represents the price move during the wait for confirmation.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.