[Pt] Premarket Breakout Strategy

2022년 6월 30일

This is a 1 trade per day strategy for trading SPY or QQQ index. By default, this is designed for 1 min time frame. This was an experimental script that seems to be profitable at the time of publication.

How it works:
Pre-market high and low is defined per trading day between 9:00 to 9:30 EST.
Then we looking for the first breakout on either PM high or PM low.
- Breakout high = long trade
- Breakout low = short trade
If long trade, we wait until Stochastic RSI D signal line to hit a lower threshold (18 by default). Then we enter long when K crosses above D line.
If short trade, we wait until Stochastic RSI D signal line to hit an upper threshold (82 by default). Then we enter short when K crosses below D line.

Stop loss for long
- set to PM low if entry is above PM high + %ATR buffer
- or set to PM range + %ATR buffer

Stop loss for short
- set to PM high if entry is below PM low + %ATR buffer
- or set to PM range + %ATR buffer

Profit target is set to 2x the risk by default.

*Note: Different Stochastic RSI lengths should be used if trading 5 min time frame. See tooltip.


Happy trading~~!