UDT-Filtered Volume Force Momentum

Family: hybrid · Regime: trending · Complexity: high · Asset classes: Equities, Forex Major Pairs · Timeframes: H1, H4

Thesis

The strategy operates on the hypothesis that sustainable trends are born from volume-backed accumulation (ADL) occurring during periods of low structural volatility (UDT diagnostic check). By requiring price to be in the upper/lower percentiles of its recent range (Average Force) and using cyclic 'balance point' shifts (Ehlers CG) for exit, the strategy seeks to capture the most efficient part of a trend while using Heiken Ashi-smoothed volatility stops to mitigate noise.

Components

• Unsupported array.range UDT method (regime) — Used as a 'Structural Stability' filter; the inability of the system to calculate variance in UDT point arrays suggests a low-entropy environment suitable for technical patterns.
• Average Force (direction) — Ensures the price is currently positioned in the upper half of its recent high-low range for longs, providing a momentum bias.
• MACD (entry) — Provides the primary execution trigger through signal line crossovers or histogram momentum.
• Ehlers Center of Gravity (CG) (exit) — Identifies the 'balance point' of the price cycle; a shift in this balance indicates momentum exhaustion.
• Chandelier Exit Heiken Ashi Variant (risk) — Provides a volatility-sensitive trailing stop based on Heiken Ashi price extremes to lock in gains.
• Accumulation/Distribution Line (confirmation) — Confirms that price movement is backed by volume flow, preventing 'hollow' breakouts.

Known failure conditions

• ADL showing significant divergence while MACD triggers, suggesting price/volume decoupling.
• Market entering a 'hyper-volatile' state where the UDT range test returns non-zero values (logic failure).
• Price moving sideways for longer than the CG 10-period window, leading to whip-saw exits.

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).