Cyclical Pivot Momentum Hybrid
Family: hybrid · Regime: trending · Complexity: medium · Asset classes: FX (Majors), Indices, Large Cap Equities · Timeframes: H1, H4
Thesis
Market cycles (as isolated by the DPO) provide a higher-probability window for momentum breakouts. By only entering when candle-level reversal pivots (Roshaneforde) are breached in the direction of both cycle momentum (DPO) and oscillator momentum (RSI/CCI/ROC), we can filter out low-probability 'fake' breakouts that occur during cycle exhaustion. Risk is then anchored to visible liquidity pools (20-bar extremes) to ensure stop-losses are placed where the trade thesis is structurally invalidated.
Components
- Detrended Price Oscillator (DPO) (regime) — Acts as a cycle filter, ensuring the trade is taken in the direction of the short-term cyclical swing rather than catching a late-stage move.
- Rate of Change (by PK) (direction) — Provides the directional momentum confirmation required to validate that the price action reversal has sufficient velocity.
- Roshaneforde Pivot Levels (entry) — Identifies structural reversal levels based on engulfing patterns; used as the primary 'trigger' line for execution.
- ATR Stop Loss Finder (exit) — Provides a volatility-adjusted exit to avoid premature stop-outs during normal market noise.
- Custom 004 Liquidity Map with Drawings (risk) — Uses the 20-period extremes to define the 'Liquidity Gap' used for calculating trade risk and position size.
- GFRMa Pivot HTF3 Dashboard (volatility_filter) — A multi-factor filter requiring RSI and CCI to align with the trade direction, preventing entries in low-volatility 'dead' zones.
Known failure conditions
- Price remains trapped between the Roshaneforde Buy and Sell levels for more than 50 bars (market consolidation).
- DPO stays near zero for extended periods, indicating a total lack of cyclicality.
- High correlation between ROC and RSI signals, suggesting redundancy in momentum filters.
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