Strategies / Momentum / Range Oscillator Stochastic Confirmation

Range Oscillator Stochastic Confirmation

Compares the close with a move-weighted average of 50 closes, scaled by ATR, and buys when the oscillator is above 100 and %K crosses over %D. The long is closed when the oscillator falls below 30 or the 70-period EMA is falling.

MomentumLong onlySwingNasdaq 100Daily

2.28Profit factor

14,600Net profit EUR

37.93%Win rate

174Trades

-3,041Max drawdown

83.91Avg trade

Best run of 21. Nasdaq 100, Daily, spread 3, from run pf:2026-10-11-NAS100-D.tsv:10.

Entry rules, long

Each of the last 50 closes is weighted by its absolute change from the next bar, relative to that next close.
Stochastic %K, from 7 bars with 3-bar smoothing, crosses over its 3-bar %D line while %K is below 100.
A long is opened at market when the oscillator and stochastic conditions both hold and no long position is open.

Exit rules

The long is also closed when EMA(70) is lower than on the previous bar.

Test conditions

Period	Up to 2026-10-11
Instrument	Nasdaq 100, Daily
Spread	3 points
Starting capital	1,000,000
Costs	Spread only. Commissions and overnight financing are not included.
Bars	Up to 200,000 bars, fewer where the instrument has less history
Last tested	2026-10-12

Every run

Markets and timeframes tested

Market	Timeframe	PF	Trades	Win %	Net	Max DD
Nasdaq 100Best run	Daily	2.28	174	37.93	14,600 EUR	-3,041
Gold	1 hour	1.42	1,075	37.30	2,419 EUR	-459
USD/JPY	30 min	n/a	1,718	34.40	420,280 USD	-107,310
USD/JPY	Daily	n/a	119	41.18	355,470 USD	-336,170
USD/JPY	4 hours	n/a	328	32.93	258,560 USD	-188,230
Nikkei 225	Daily	n/a	130	36.15	36,124 USD	-9,694
Silver	4 hours	n/a	237	33.33	15,492 USD	-13,457
Nikkei 225	30 min	n/a	1,874	32.82	13,038 USD	-12,769
Nikkei 225	1 hour	n/a	1,000	34.00	12,848 USD	-9,467
DAX 40	30 min	n/a	1,901	35.51	10,011 EUR	-3,321
DAX 40	1 hour	n/a	1,100	38.64	8,988 EUR	-2,638
DAX 40	Daily	n/a	234	34.19	6,411 EUR	-3,986
Dow Jones	4 hours	n/a	111	36.04	6,174 EUR	-5,182
Nasdaq 100	30 min	n/a	2,051	34.86	5,733 EUR	-3,258
Nasdaq 100	1 hour	n/a	1,338	34.83	5,401 EUR	-3,866
Nasdaq 100	4 hours	n/a	406	36.70	5,119 EUR	-3,660
Gold	30 min	n/a	1,772	35.61	1,837 EUR	-680
S&P 500	Daily	n/a	216	36.57	1,614 EUR	-1,244
Gold	Daily	n/a	145	40.69	1,397 EUR	-1,314
S&P 500	1 hour	n/a	1,280	35.94	1,171 EUR	-1,054
S&P 500	30 min	n/a	1,976	34.21	1,012 EUR	-841

Charts

Results by run

Top 10 of 21 runs. The full list is in the table above.

Above 1.0 made money, below 1.0 lost money.

The code

ProBuilder code, as tested

// ==============================================================
// Range Oscillator Stochastic Confirmation
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Momentum
// Direction: Long only
// Timeframe tested: Daily
// ==============================================================

DEFPARAM CumulateOrders = false

ONCE raw = 50

len = 50

42 more lines: the entry and exit rules.

Setup

How to load it

Copy the code with the copy button on the code block.
In ProRealTime, open a chart of the instrument and timeframe you want to test, then open ProOrder > New trading system and choose "Create with programming".
Paste the code, give the system a name and save it.
Click "Backtest", set your own spread and position size, and run it before you consider trading it live.

Indicators used

ATRStochasticEMA

Longer historyRe-run on up to 1,000,000 barsNasdaq 100 · Daily · older data 0.00 EUR

Nasdaq 100 had no history beyond the standard run, so both runs used 10,000 bars.

Nasdaq 100 · Daily

Bars available	10,000
Net, standard 200,000-bar run	14,600.40 EUR
Net, long run	14,600.40 EUR
Net on the older data alone	0.00 EUR

Read this firstKnown weaknesses2 points

The code sets no stop loss, so a losing trade stays open until an exit signal arrives.
Results include the spread only. Commissions and overnight financing are not included.

Questions

About this strategy

Can I run Range Oscillator Stochastic Confirmation in ProOrder?

Yes. The code is ProBuilder and runs as an automated ProOrder system. Backtest it on your own account with your own spread and position size before trading it live.

Which markets was it tested on?

It was tested on 21 market and timeframe combinations. The best run was Nasdaq 100, Daily, with a profit factor of 2.28 over 174 trades.

How large was the drawdown?

The best run had a maximum drawdown of 3,041 EUR at the tested position size, against a net result of 14,600 EUR.

Does it trade long, short or both?

It only takes long trades.

Reversal Pattern With Chaikin Volatility

Uses the same indicator.

2.26 PF · 6,872 trades

Volatility Spike Regression Long

Best run on the same market, Nasdaq 100.

1.22 PF · 1,850 trades

MACD Histogram Trend Cross

Also a momentum strategy.

2.27 PF · 1,061 trades

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Copy trading on US indices is available to ProRealAlgos members as spots open.

Past backtest results do not guarantee future results. This is not financial advice. Curated and maintained by ProRealAlgos. ProRealTime™ is a trademark of ProRealTime SAS. prorealalgos.com Stats Docs

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