Same High and Low Breakouts with ATR-Multiple Profit Targets
Summary
This strategy looks for consecutive bars sharing a high or low, treating those repeated levels as possible breakout setups. When the prior two lows match and the current low rises above them, it opens a long position; when the prior highs match and the current high falls below them, it opens a short. The stop is placed just beyond the repeated level, while the target is set using a multiple of the stop distance. The source also plots repeated and mirror levels and highlights unusually wide candles using ATR, though those displays do not drive the described entries.
The stated appeal is simple pattern recognition and a defined exit plan. The main cautions are that these setups may be infrequent, nearby stops can be hit by ordinary price movement, and results depend on parameter choices. The published test settings cover a short BTC/USDT futures period, which is not evidence of performance across markets or regimes. The written overview refers to weekly bars, while the published test uses a shorter chart interval; readers should verify timeframe assumptions before evaluating the method.
Key ideas
- Repeated highs or lows across adjacent bars define the setup.
- A low-level setup enters long when price moves above the repeated low.
- A high-level setup enters short when price moves below the repeated high.
- Stops sit just beyond the setup level, and targets scale with stop distance.
- Infrequent patterns and tight stops may limit performance.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.