WJ BUY: Scored Pullback Entries with Deep-Drawdown Mode

Summary

The strategy combines a lower Bollinger Band score, a score based on price relative to long moving averages, and an RSI score to identify potential long entries. In its ordinary mode, it uses separate score thresholds for two entry paths: one can trigger immediately after a score crosses a threshold, while the other requires the score to remain below its threshold for a configurable period. Both require price to recover above a short moving average, with an additional confirmation bar for buys below the prior entry price.

After two consecutive purchases below the 500-day average, it switches to a deep-drawdown mode that drops the moving-average score and uses a separate threshold. It tracks purchase prices to restrict some successive lower entries, and exits the strategy’s positions at the end of the available backtest history. The document provides implementation details but no performance results or market-by-market validation. The many state rules, date filter, and intrabar behavior make careful testing across chart intervals and assets necessary before drawing conclusions.

Key ideas

• The entry score combines distance below the Bollinger basis, position relative to long moving averages, and low RSI.
• The normal mode has two score-triggered entry paths with different confirmation rules.
• Entries require price to recover above a short moving average, with extra confirmation when price is below the prior purchase.
• Two successive buys below the 500-day average activate a separate mode that omits the moving-average score.
• The script supplies no reported performance evidence, so its rules should be evaluated in backtests.

Tags

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