TLO Opening Box Retest Strategy by TLOMarkets
By TLOMarkets
Performance Metrics
- Author: TLOMarkets
- Symbol: AMEX:SPY
- Timeframe: 1 minute
Description
TLO Opening Box Retest Strategy is the backtestable strategy implementation of the TLO Opening Box Retest framework.It evaluates a structured opening-range sequence:BOX -> BREAK -> RETEST -> CONFIRMATION -> ENTRY -> EXITThe strategy is intended to let traders evaluate the behavior of the setup historically using TradingView's Strategy Tester while keeping the visual sequence aligned with the companion TLO methodology.CORE LOGIC1. Opening BoxThe strategy builds a high/low range from the configured opening hour.2. First BreakoutAfter the opening box is complete, the strategy accepts only the first qualified directional breakout for that box.3. First RetestAfter the breakout, price must return to the breakout boundary within the configured retest window.4. ConfirmationIn Retest Confirmation mode, a long setup requires a retest of the upper boundary followed by a qualifying close back above the box.A short setup requires a retest of the lower boundary followed by a qualifying close back below the box.5. EntryWhen the confirmation conditions are satisfied, the strategy submits the corresponding market entry.TradingView normally executes market orders at the next available price under its strategy broker-emulator rules because Process Orders On Close is disabled.ENTRY MODESRetest ConfirmationThis is the default mode.The sequence is:Breakout -> Retest -> Confirming close -> EntryDirect BreakoutAn optional mode allows entry on the initial qualified breakout without waiting for a retest.RISK MANAGEMENTThe default strategy risk setting is approximately 0.50% of current strategy equity per trade.Position size is calculated from:- Current strategy equity- Configured risk percentage- Planned structural stop distance- Instrument point valueBecause an actual market-order fill can differ from the signal price, realized risk can differ from the requested percentage.STOPThe default stop is positioned 2.0 opening-box heights from the breakout boundary.This value is configurable.EXIT MODESMeasured 1x BoxDefault exit mode.The target is projected one opening-box height beyond the breakout boundary.Fixed RA configurable multiple of the initial trade risk can be used instead.Next Opening BoxThe strategy can hold the position until a new opening box begins, subject to the active protective stop.BREAKEVEN MANAGEMENTBy default, the strategy can move its protective stop to the actual entry price after price moves approximately +1R in the trade's favor.AUTO SESSION MODEUS stocks, funds, and indices:09:30-10:30 New York timeForex and crypto:Tokyo opening-hour templateFutures:User-configurable futures opening hourCustom session and timezone settings are also available.OPTIONAL FILTERSThe default strategy does not require these filters, but users can enable:30-minute EMA regime filterRelative-volume breakout filterThey are optional because the strategy is designed so their incremental value can be evaluated separately rather than assumed.DEFAULT STRATEGY SETTINGSEntry mode:Retest ConfirmationBreakout buffer:0.00 ATRRetest tolerance:0.12 ATRMaximum retest window:80 chart barsConfirmation close outside box:EnabledApproximate risk:0.50% of strategy equityStop:2.0 box heightsExit:Measured 1x BoxMeasured target:1.0 box heightMove stop to breakeven:Enabled after approximately +1R30-minute regime filter:DisabledRVOL filter:DisabledPyramiding:0Process orders on close:DisabledRecalculate after order fills:EnabledRecalculate on every tick:DisabledBar Magnifier:EnabledCommission:0.01%BACKTEST INTERPRETATIONThe published strategy report is a simulation generated by TradingView's broker emulator. It is not a live trading record.Bar Magnifier is enabled to improve intrabar order simulation where lower-timeframe historical data is available, but the simulation cannot reproduce every real-world execution condition.Actual results can differ because of:- Bid/ask spreads- Slippage- Gaps- Liquidity- Order latency- Exchange behavior- Broker execution- Different market sessions- Data-feed differencesThe strategy does not use future price information to create entries.Historical profitability, win rate, drawdown, or other Strategy Tester statistics do not predict future performance.ORIGINAL TLO FUNCTIONALITYBreakout/retest trading is a widely known technical-analysis concept.The TLO implementation adds a coordinated deterministic framework including:- Automatic session adaptation by instrument type- First-break locking- First-retest locking- One trade sequence per opening box- Configurable structural exits- Risk-based position sizing- Optional breakeven management- Optional regime filtering- Optional participation filtering- Historical-session visualization- Clean state-controlled presentationThe source code is restricted because the TLO-specific state machine, session adaptation, risk architecture, and implementation details are part of the TLO system.LIMITATIONSThis strategy is a research and decision-support implementation.It does not guarantee profitable trades or future performance.The session definition and execution settings should be reviewed for every instrument before relying on the results.Signals vary by chart timeframe.Use standard candlestick charts. Strategy reports created using synthetic/non-standard bars can produce unrealistic execution results.Traders remain responsible for validating the strategy for their own market, broker, costs, position sizing, and risk tolerance.