Volume-Gradient Intensity Trend Handler (VGITH)

Family: trend_following · Regime: trending · Complexity: medium · Asset classes: FX, Equities, Crypto · Timeframes: M15, H1, H4

Thesis

Market trends are most persistent when structural price direction (200 SMA) is validated by institutional-grade volume intensity. By entering on a tactical momentum recovery (Stochastic) within a multi-filtered trend (TII / MA-Candlesticks), we capture the highest probability 'meat' of the move while using daily volatility levels to define inorganic risk.

Components

200-Day Trend Background (Smoothed Volume Gradient) (regime) — Identifies the structural HTF trend direction and ensures high-volume participation for momentum persistence.
MA-Candlesticks (direction) — Acts as a smoothed price action filter (Intermediate Trend) to ensure local momentum aligns with the background.
Stochastic Oscillator (entry) — Identifies tactical pullbacks within the established trend.
Heiken Ashi (Standard MT5) (exit) — Provides a noise-filtered trend-following exit to capture the meat of the swing.
Daily High Low MTF (risk) — Uses structural extremes of the previous day for volatility-based invalidation (Stop Loss).
Trend Intensity Index (TII) (confirmation) — Confirms that the breakout from the pullback is supported by strong directional deviation from the mean.
Bollinger Bands (volatility_filter) — Prevents entry during low-volatility 'squish' zones or late-stage parabolic extensions.

Known failure conditions

Price consistently oscillates through the Daily High/Low levels without initiating a directional move (high-volatility chop).
Volume Gradient becomes opaque (low volume) while price trends, indicating a lack of institutional participation.
The strategy yields consecutive losses in 'The Squeeze' where Bollinger Bandwidth is at its historical 10th percentile.

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