[smartretailtrading] Fractal break out cBot

This is the “Fractal break out cBot”.

This robot can be optimized/adapted for all markets. It offers, in addition to the basic trading strategy, a variety of filters that allow yout to improve the performances of the robot. The optimization depends on the market, the broker, your conditions, the risk tolerance, etc. Therefore, we present here a robot with which you can flexibly adjust a fractal break out strategy . We do not prescribe or recommend any settings. An optimization is mandatory before this robot can be used.

Here is a “backtest only” version of the cBot for testing and optimization:

https://smartretailtrading.com/fractal-break-out-cbot/

Here is the annoucement of our 1 Million project: Project: From 1000€ to 1€ million in 10 years with algorithmic trading - Smart Retail Trading

Strategy

This strategy works best for long positions – so we recommend it for long only (but short is possible too). It opens a trade if …

• if there is a up or down fractal with length of 5 bars.
• if the last fractals confirm an up or down trend.
• if the price crosses the average of the last fractals.
• the trade can be closed after x bars (x you can choose).

This type of strategy works good for most markets (depending on the timeframe). To make it more robust we have a lot of filters for you:

• ATR – you shouldn’t trade if the volatility is to low or to high
• ADX – shows you if the market is trending
• higher timeframe Slow EMA and higher timeframe Fast EMA. So you can choose to trade in higher timeframe trend direction only.
• Trading time filter
  • choose the days of a week you want to trade
  • choose the hours you want to trade

Risk management with …

• fixed SL and TP or with dynamic SL and TP based on the lows of the last x bars combined with ATR.
• Stochastic – you can use it for advanced taking profit.
• Trailing SL and break even is also possible (we recommend to use only one of them).
• Money management you can choose lot size or percentage of balance.
• Stop trading if drawdown reaches a limit.
• use pending orders.
• close trades after x bars.

Backtesting results

This is only an example for an instance (XAUUSD). Please do your own testing and optimization!

The optimization was done with minute data from 02/2022 to 07/2023 with a FTMO account.

The results depend on your broker and the money management.

Quantity : 1 Lot –> ~+148% and ~19,3% equity drawdown with Tick data from 02/2021 to 07/2023 with a FTMO swing account.

Further informations please visit https://smartretailtrading.com/fractal-break-out-cbot/ or write an email to: info@smartretailtrading.com.