Pivot Reversal Strategy - FIGS & DATES 2.0

The Pivot Reversal Strategy - FIGS & DATES 2.0 tool provides a systematic approach to trading pivot point reversals by identifying key structural highs and lows to trigger long and short entries.

Usage

The strategy is designed to capture trend reversals based on established pivot points. Traders can use this tool to automate backtesting and execution based on price action breaking above a recent pivot high or below a recent pivot low.

• Long Entry: Triggered when the price breaks above a recent pivot high (determined by the Left and Right Bars settings).
• Short Entry: Triggered when the price breaks below a recent pivot low.
• Backtesting Range: The script includes a date filter to limit execution to specific market regimes or time periods, allowing for more granular performance analysis.

Details

The strategy utilizes the ta.pivothigh and ta.pivotlow functions to detect structural turning points. It requires a specific number of bars to the left and right of a candle to confirm it as a pivot. Once a pivot is identified, the script sets a stop order at that level. By default, the strategy is configured with realistic trading parameters, including a 0.075% commission rate and 100% equity allocation to simulate a full-position trend-following approach.

Settings

Pivot Settings

• Left Bars: The number of bars required to the left of a candle to identify a potential pivot.
• Right Bars: The number of bars required to the right of a candle to confirm a pivot.

Backtesting Date Range

• From Day/Month/Year: Sets the starting date for the strategy backtest.
• To Day/Month/Year: Sets the ending date for the strategy backtest.

FAQ

How do I access Pivot Reversal Strategy - FIGS & DATES 2.0?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.

What do the Left and Right Bars settings do?

These settings define the strength and confirmation of a pivot point. Higher values result in more significant but lagging pivots, while lower values identify more frequent, short-term reversals.

Can I use this for live trading?

Yes, the script includes optimized alert triggers for both long and short entries, which can be connected to external execution bridges or used for manual trade notifications.