Strategies / Pattern / RSI Candlestick Pattern Reversal

RSI Candlestick Pattern Reversal

Buys when the RSI of the typical price crosses above 30 alongside a bullish candlestick pattern and an RSI of the close at or below 45. Sells short on the mirror setup with bearish patterns and RSI of the close at or above 55.

PatternLong & shortIntradayS&P 50030 min

n/aProfit factor

1,946Net profit EUR

66.04%Win rate

851Trades

-941Max drawdown

2.29Avg trade

Best run of 19. S&P 500, 30 min, spread 1, from run sweeps:2026-10-12-USA500-30m-opt.tsv:5.

Entry rules, long

The RSI(14) of the typical price crosses over 30.
The RSI(14) of the close is at or below 45.

Entry rules, short

The RSI(14) of the typical price crosses under 70.
The RSI(14) of the close is at or above 55.

Exit rules

The RSI(14) of the typical price crosses under 30, closing the short.
An opposite entry reverses the position.

Test conditions

Period	Up to 2026-10-12
Instrument	S&P 500, 30 minutes
Spread	1 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
S&P 500Best run	30 min	n/a	851	66.04	1,946 EUR	-941
USD/JPY	4 hours	n/a	85	65.88	346,490 USD	-203,930
Nikkei 225	4 hours	n/a	100	69.00	29,565 USD	-9,428
EUR/USD	15 min	n/a	714	65.69	12,472 USD	-6,714
Silver	Daily	n/a	42	76.19	12,104 USD	-6,003
Silver	3 min	n/a	717	64.30	10,321 USD	-8,493
Brent Crude	1 hour	n/a	212	68.40	8,645 EUR	-3,821
US Crude Oil	30 min	n/a	630	65.56	8,099 EUR	-4,725
Dow Jones	4 hours	n/a	30	76.67	7,450 EUR	-3,064
Nasdaq 100	1 hour	n/a	468	64.10	6,956 EUR	-3,073
Brent Crude	15 min	n/a	738	66.26	6,672 EUR	-2,390
GBP/USD	4 hours	n/a	141	65.25	6,202 USD	-2,937
DAX 40	1 hour	n/a	368	70.11	6,115 EUR	-3,320
FTSE 100	4 hours	n/a	95	68.42	5,457 EUR	-1,470
Nasdaq 100	15 min	n/a	637	66.25	5,198 EUR	-2,747
DAX 40	4 hours	n/a	93	62.37	4,485 EUR	-4,309
Brent Crude	30 min	n/a	442	66.52	4,212 EUR	-3,351
S&P 500	1 hour	n/a	543	66.85	2,533 EUR	-1,429
S&P 500	4 hours	n/a	110	62.73	1,447 EUR	-888

Charts

Results by run

Top 10 of 19 runs. The full list is in the table above.

Net profitMax drawdown

The code

ProBuilder code, as tested

// ==============================================================
// RSI Candlestick Pattern Reversal
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Pattern
// Direction: Long & short
// Timeframe tested: 30 minutes
// ==============================================================

DEFPARAM CumulateOrders = false

myRsi = RSI[14](TypicalPrice)
trsi = RSI[14](close)

54 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

RSI

Read this firstKnown weaknesses2 points

No profit factor is available, because only sweep results exist for this strategy.
The code sets no stop loss, so a losing trade stays open until an exit signal arrives.

Questions

About this strategy

Can I run RSI Candlestick Pattern Reversal 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 19 market and timeframe combinations. The best run by trade count was S&P 500, 30 minutes, with 851 trades.

How large was the drawdown?

The best run had a maximum drawdown of 941 EUR at the tested position size, against a net result of 1,946 EUR.

Does it trade long, short or both?

It trades both long and short.

Trend Surfer

Uses the same indicator.

1.04 PF · 10,813 trades

CCI Sign With EMA Alignment

Best run on the same market, S&P 500.

1.23 PF · 1,253 trades

Breakout Reversal

Also a pattern strategy.

n/a PF · 459 trades

See how ProRealAlgos combines strategies like this into one automated portfolio.

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