Weekly Double-High and Double-Low Breakout Strategy

Summary

This open-source strategy turns repeated weekly highs or lows into reversal-style entry signals. After two consecutive candles share a low, it enters long at the close of the next candle if that candle makes a higher low. After two consecutive highs, it enters short if the next candle makes a lower high. It requires no open position when a signal occurs.

Stops sit one minimum tick beyond the repeated low or high. Profit targets are set using the stop distance multiplied by a configurable reward factor; the script also marks unusually wide candles using an ATR comparison. The document describes the rules and shows their implementation, but provides no performance results or market-by-market evaluation. Its claim that the next candle's close is generally precise for backtesting is not supported with evidence, and real-world fills, costs, timeframe suitability, and the meaning of the reward multiplier should be assessed independently.

Key ideas

• A long setup follows two equal lows when the next candle forms a higher low.
• A short setup follows two equal highs when the next candle forms a lower high.
• The stop is placed one minimum tick beyond the repeated low or high.
• The profit target scales the stop distance by a configurable multiplier.
• The document gives no performance evidence to establish the strategy's profitability.

Tags

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