Triple-Filter Trend Strategy Combining ASO, SSL, and Momentum Breakouts

Summary

This rules-based strategy combines an Advanced Sentiment Oscillator (ASO), an SSL channel, and a momentum breakout indicator. Long or short entries require alignment between the ASO’s bullish or bearish state, a recent crossover, the SSL trend direction, and a breakout beyond recent price extremes. The description gives a default breakout lookback of 12 periods. After entry, the code sets a take-profit and stop-loss using multiples of ATR, and allows only one open trade at a time.

The document explains the indicators and discusses risks such as missed trades from strict filtering, sensitivity to parameter choices, reversals, and execution slippage. It offers possible extensions, including market-regime filters, partial position management, and walk-forward evaluation. It does not provide backtest results or evidence that the combination improves performance. The code excerpt is incomplete, so the full implementation and behavior cannot be assessed from the supplied material alone.

Key ideas

• Entries require agreement among ASO direction and crossover, SSL direction, and a momentum breakout.
• The breakout indicator compares price with recent highs or lows, with a stated default lookback of 12 periods.
• ATR multiples define trade targets and stops, while the strategy gates entries to one open trade.
• Strict confirmation may reduce signal frequency and delay response to reversals.
• The document describes risks and possible refinements but provides no performance results.

Tags

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