Recursive Multi-Timeframe Conviction Scalper

Family: trend_following · Regime: trending · Complexity: high · Asset classes: Forex, Equities, Indices · Timeframes: H1, D1

Thesis

Market trends are most reliable when momentum acceleration (Momentum Oscillator) is confirmed by high-volume conviction (Vol/AbsReturn Ratio) and structural alignment across multiple timeframes. By using a recursive moving average, we filter out minor price noise to capture the core 'inertia' of the move, while using structural 'PiPi' levels to define risk based on price infrastructure rather than arbitrary volatility.

Components

• Heatmap Framework (regime)
• Momentum Oscillator (direction) — Ensures that the price movement is accelerating in the direction of the higher timeframe trend before an entry is triggered.
• Recursive Moving Average Unlimited (entry) — Provides a highly smoothed trigger signal; entry occurs when price/fast EMA crosses the composite recursive trigger line.
• MACD (exit) — Used to detect momentum exhaustion or trend reversal for timely exits before significant profit evaporation.
• PiPi (Price Infrastructure & Position Interface) (risk) — Identifies structural 'Levels' and Fibonacci zones to set stop losses and define position risk based on market geometry.
• MTF Heatmap Template (confirmation)
• Volume to Absolute Return Ratio (volatility_filter) — Acts as a conviction filter; prevents entry during 'low-effort/low-result' price action where volume is high but progress is minimal.

Known failure conditions

• Market enters a tight bracketed range where Recursive MA produces frequent whipsaws.
• High-impact news creates price spikes that trigger Momentum Oscillator but lack sustained follow-through.
• Volume to Absolute Return Ratio stays perpetually low due to low liquidity periods, blocking all signals.

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).