Box-Momentum Breadth Hybrid

Family: breakout · Regime: trending · Complexity: medium · Asset classes: FX, Indices, Equities · Timeframes: H1, H4

Thesis

Market trends originate from periods of compression; by filtering for price breakouts from ATR-defined 'boxes' and confirming the move with both RSI-momentum (ASH) and candle-breadth (ADR_B), we can capture the high-velocity phase of a trend while using smoothed volatility (ATR Heiken Ashi) to survive noise.

Components

• Indicator Metadata Sample (regime) — Provides a 'heartbeat' check to ensure the data stream is fresh and synchronization is maintained between server and local terminal before execution.
• Unsupported Imported UDT varip Test (direction) — Determines immediate price direction; though functionally equivalent to the close price, it serves as the base reference for price-action alignment.
• Absolute Strength Histogram (ASH) (entry) — Triggers entry based on the divergence between bullish and bearish RSI-based momentum; high sensitivity helps capture early trend formation.
• UT Bot Alerts (MQL5) (exit) — Provides a dynamic trailing stop based on ATR crossovers, locking in gains while allowing for volatility-adjusted breathing room.
• ATR Heiken Ashi (risk) — Standardizes risk based on smoothed price volatility, reducing the impact of 'noise' spikes on initial stop placement.
• Advance/Decline Ratio (Bars) (confirmation) — Acts as a structural filter to ensure momentum is supported by candle body frequency (breadth) rather than a single outlier bar.
• Boxline (Range Breakout) (volatility_filter) — Prevents trading within range-bound 'noise' by requiring a breakout from the most recent consolidation zone.

Known failure conditions

• ASH 'Point' scaling sensitivity causes signals to flatline on high-value indices (e.g., DAX/SPX) without manual normalization.
• ADR_B remains fixed at 1.0 during alternating 'bar-up-bar-down' chop, preventing all entries.
• The diagnostic log output from the Regime component exceeds buffer limits, causing terminal lag during high volatility.

Explore the full interactive blueprint with parameter ranges and evidence on WOBR StrategyVerse, or generate this strategy as an MT4/MT5 Expert Advisor with QuantMogul AI Engine (free download).