Description
This strategy uses the Average True Range (ATR) to detect when price has stretched too far relative to current volatility. Large deviations from the mean often precede a corrective move back into equilibrium — and the strategy turns these extremes into structured entry signals.
A buy signal triggers when price falls excessively below its mean; a sell signal triggers when it rises too far above it.
ATR sensitivity, deviation thresholds, plots, and risk controls are fully customizable, allowing you to tailor the system to any instrument or timeframe.
How to use
On the first use, paste you license code into the License field in strategy parameters.
- Select your Moving Average type and period – this sets the baseline mean for the strategy.
- Set ATR period and ATR Multiplier to define how aggressive or conservative the reversal threshold should be.
- Choose the entry mode (Limit or Market) and configure your preferred risk settings.
- Enable optional modules such as profit targets, stop losses, plots, or color settings.
- Run backtests or live trading – the strategy executes and manages trades automatically.
Indicator Parameters
| Parameter | Description |
|---|---|
| MA – Type | Choose from SMA EMA HMA WMA and other classic averages |
| MA – Period | Defines the mean the price reverts to. |
| ATR period | Controls how the strategy measures current volatility. |
| ATR Multiplier | Defines how far price must deviate from the mean (in ATR units) to trigger a reversal signal. |
Trading Parameters
| Parameter | Description |
|---|---|
| Trading | Entry Type | Market = fastest execution. Limit = controlled entry at your price. |
| Trading | Profit Target | Locks in gains at your chosen distance. Optional. Supports Limit and MarketIfTouched. |
| Trading | Stop Loss | Manages downside risk. Optional. Stop – standard exit. Simulated-StopLoss – helps avoid poor fills in thin markets. |
| Additional | Show or hide MA lines on the chart, fully customizable for clean visual workflow. |
