The ATR Slope Breakout strategy watches the rate of change of the ATR. An unusually steep slope hints that a new trend is forming.
Entries occur when slope exceeds its typical level by a multiple of standard deviation, taking trades in the direction of acceleration with a protective stop.
It appeals to active traders eager for early trend exposure. Positions exit when the slope drifts back toward normal readings. Default [b]AtrPeriod[/b] = 14.
[list]
[][b]Entry Criteria[/b]: Indicator exceeds average by deviation multiplier.
[][b]Long/Short[/b]: Both directions.
[][b]Exit Criteria[/b]: Indicator reverts to average.
[][b]Stops[/b]: Yes.
[][b]Default Values[/b]:
[list]
[][b]AtrPeriod[/b] = 14
[][b]SlopePeriod[/b] = 20
[][b]BreakoutMultiplier[/b] = 2.0m
[][b]StopLossAtrMultiplier[/b] = 2.0m
[][b]CandleType[/b] = TimeSpan.FromMinutes(5)
[/list]
[][b]Filters[/b]:
[list]
[]Category: Breakout
[]Direction: Both
[]Indicators: ATR
[]Stops: Yes
[]Complexity: Intermediate
[]Timeframe: Short-term
[]Seasonality: No
[]Neural Networks: No
[]Divergence: No
[*]Risk Level: Medium
[/list]
[/list]