Pivot Reversal Strategy with backtest date range

The Pivot Reversal Strategy with backtest date range tool identifies market turning points using pivot highs and lows while providing a built-in date filter for more precise historical performance analysis.

Usage

The strategy can be used to identify potential trend reversals based on historical price extremes. A long stop order is placed when a pivot high is established, and a short stop order is placed when a pivot low is confirmed. By adjusting the left and right bar settings, users can fine-tune the sensitivity of the pivot detection to suit different timeframes or market conditions.

The integrated date range filter allows users to isolate specific periods for backtesting, such as bull markets, bear markets, or high-volatility events, without needing to modify the underlying code.

Details

The strategy utilizes the ta.pivothigh() and ta.pivotlow() functions to detect structural peaks and troughs. A pivot high is defined as a high that is higher than 'n' bars to its left and 'm' bars to its right.

Once a pivot high is detected, the script sets a stop-buy order just above that price level. Conversely, when a pivot low is detected, a stop-sell order is placed just below that level. The strategy remains active within the user-defined timestamp range, ensuring that performance metrics are only calculated for the desired period.

Settings

Pivot Settings

• Left Bars: The number of preceding bars required to confirm a pivot point.
• Right Bars: The number of succeeding bars required to confirm a pivot point.

Backtesting Date Range

• From Day/Month/Year: Defines the start date for the backtest period.
• To Day/Month/Year: Defines the end date for the backtest period.

FAQ

How do I access the Pivot Reversal Strategy with backtest date range?

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

What is the purpose of the Left and Right Bars settings?

These settings determine the "strength" of a pivot. Larger values result in fewer, more significant pivot points, while smaller values capture more frequent, minor price turns.

Why are my trades not showing up on the chart?

Ensure that the "From" and "To" dates in the settings menu encompass the current price data on your chart. If the current date is outside this range, the strategy logic will not execute.