Trade Panther

Strategy Intent

Trading Criteria Details
Market Suitability All markets but will work faster in a Bull market when volatility is higher
Difficulty Intermediate
Strategy Type Breakout
Take Profit
DCA
Positive DCA
Pending Orders
Trailing Stop Loss
Published
Demo Server

Note:

  1. Click the cloud icon to view the demo server for this strategy;
  2. Note if the cloud icon is showing in red it means the demo server is not available right now;

Strategy Overview

  • This strategy intent is to do Breakout Trading.
  • This is an intermediate trading strategy that looks for upside breakouts.
  • Just for a bit of fun I called this strategy TradePanther after that movie called Anchorman whose star was a character called Ron Burgandy. So to mis-quote one of the most famous quotes from that movie….“Trade Panther, they've done studies you know, 60% of the time it works…everytime!” :-) Well its not quite 60% of the time but it is close based on my testing.
  • This strategy isn't fast (particularly in a Bear market), it will take time to find pairs that are about to break out or are breaking out, but when it does find them it is worth it.

Entry Criteria

  • The strategy entry criteria is looking for upside breakouts, it makes use of PDHIGH and a HMACROSS to do that.
  • It confirms this with RSI looking for signs of strength in the breakout.
  • Trailing buy is turned off as we are buying into an uptrend.

Trade Management

  • The strategy applies the 2% and 10% rules of trading.
  • Position size is limited to 2% of risk capital per trade.
  • Only 5 trading pairs are active at any time to ensure no more than 10% of total risk capital is employed in trading at any time.
  • A trailing stop loss is employed rather than a fixed stop loss.
  • Take profit is employed to prevent loss of profits.

Exit Criteria

  • This strategy makes use of GAIN set to 2%
  • It looks for a reversal to the downside with the HMACROSS.
  • When the market reverses it makes use of Pending Orders to recover those trades that retrace.
  • Pending is also used with this strategy to allow it to increase its position size and get better profits. So I don't mind if a pair goes to pending because I want it to do so. Think of it as a delayed Pairs Log. It will combine the pair the next time it buys and they are in profit together.
  • DCA is disabled by default on this strategy. If DCA is part of your Trading Plan you can enable it. DCA will allow you to buy lower in order to reduce the average cost but you need to change the settings to suit doing that. I have just set it to use the same Buy strategies as the Possible Buy log. If you are happy with that you can just enable DCA.

Strategy Tips

  • This strategy works best in a Bull Market but will work in all market conditions as even Bear markets have breakouts, unfortunately they are usually to the downside though.
  • Have patience, it will take time to find pairs that about to breakout or are breaking out.
  • The key to this strategy is to ensure you do not overextend yourself by getting your max trading pairs and initial cost right to suit your trading budget.
  • Use the DCA calculator we provide to work these values out covering at least 4 levels of DCA for all your pairs. Once you have those values enter them into this strategy. The DCA calculator also ensures you have a 50/50 split on your trading budget to ensure you have sufficient budget for the sell side of this strategy.


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  • tradepanther.txt
  • Last modified: 13 days ago
  • by cryptocoyn