ORB Breakout Strategy by chartsquare
By chartsquare
Performance Metrics
- Author: chartsquare
- Symbol: NASDAQ:TSLA
- Timeframe: 5 minutes
- Net P&L: +68,624.21 USD (+68.62%)
- Win Rate: 47.8%
- Profit Factor: 1.524
- Max Drawdown: 13,090.67 USD (8.50%)
- Total Trades: 134
Description
📊 Overview 📈 Systematic intraday Opening Range Breakout (ORB) strategy🧭 Designed for index CFDs (e.g. US500)⏱️ Optimized for 5-minute charts during regular trading hours🛡️ Strict risk management and position sizing🚦 Maximum one trade per day💡 Core Idea 🌅 The market establishes a key price range shortly after the open🚀 A confirmed breakout from this opening range can signal directional momentum🎯 The strategy trades only confirmed breakouts with predefined risk📐 Opening Range Definition ⏰ Opening range is defined between 09:30 and 09:45 (exchange time)🕯️ Uses the first three 5-minute candles of the session⬆️ Opening Range High is the highest high of those candles⬇️ Opening Range Low is the lowest low of those candles🟢 Long Trade 📊 A 5-minute candle closes above the Opening Range High🟩 A Fair Value Gap (FVG) exists relative to the candle 10 minutes earlier🧲 A buy limit order is placed at the Opening Range High🔴 Short Trade 📉 A 5-minute candle closes below the Opening Range Low🟥 A Fair Value Gap (FVG) exists relative to the candle 10 minutes earlier🧲 A sell limit order is placed at the Opening Range Low🛑 Stop Loss 📉 Long trades use the low of the candle 10 minutes before the breakout📈 Short trades use the high of the candle 10 minutes before the breakdown🎯 Take Profit ⚖️ Fixed reward-to-risk ratio of 2:1📏 Take profit distance equals two times the stop loss distance💰 Position Sizing 💵 Fixed dollar risk per trade (default: $2,000)📐 Position size is calculated dynamically based on stop loss distance🔁 Risk remains consistent across changing volatility conditions⏳ Trade Management Rules 🚦 Maximum one trade per day, including same-bar entries and exits🕛 No new entries after 12:00 (exchange time)⏰ All open positions are closed at 15:50❌ Pending orders are cancelled after the entry cutoff or at session end⚙️ Execution & Costs 💸 Commission model can be configured in the strategy settings🧪 Backtests use TradingView Strategy Tester mechanics📝 Notes 📚 This is a rules-based trading strategy, not a signal service🔍 Results depend on instrument, broker feed, spreads, and commissions🧠 Forward testing is strongly recommended before live trading⚠️ Disclaimer 📖 This script is provided for educational and research purposes only🚫 It does not constitute financial advice🔥 Trading leveraged instruments involves significant risk