Tight Range Breakout Strategie

// ============================================================
// Tight Range Breakout
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Breakout
// Direction: Long only
// Timeframe tested: 1 hour
// ============================================================

// --- Settings ---
DEFPARAM CumulateOrders = false

// --- Parameters ---
positionSize = 1              // contracts per trade
skipDayA = 1                  // no entries on bars opening on Monday
skipDayB = 0                  // no entries on bars opening on Sunday
atrPeriod = 14                // ATR length for stop and target
stopAtrMultiplier = 2         // stop distance in ATRs
targetAtrMultiplier = 2.5     // target distance in ATRs

// --- Indicators ---
blockedDay = (OpenDayOfWeek = skipDayA) OR (OpenDayOfWeek = skipDayB)

// Each of the last three closes stayed inside the range of the bar before it
tightRange = close[3] <= high[4] AND close[3] >= low[4] AND close[2] <= high[3] AND close[2] >= low[3] AND close[1] <= high[2] AND close[1] >= low[2]

// Highest high of the four bars before this one
recentHigh = max(max(high[4], high[3]), max(high[2], high[1]))

atrValue = AverageTrueRange[atrPeriod](close)