This strategy uses the Ichimoku Kumo indicator to determine market trends and trading signals. The strategy goes long when the price is below the Kumo cloud and goes short when the price is above the Kumo cloud. The strategy uses the ATR indicator for stop-loss and confirms entry signals with breakouts of the Kijun-sen and Senkou Span lines. The strategy aims to capture trading opportunities in strong trends while controlling risk.
This strategy utilizes multiple components of the Ichimoku indicator to comprehensively analyze market trends. At the same time, the strategy uses ATR stop-loss to control risk, enhancing the strategy’s robustness. However, the strategy may underperform in ranging markets and relies on parameter selection. In the future, the strategy’s performance can be further improved by introducing other analysis methods, optimizing stop-loss and position sizing, and other means.
/*backtest start: 2024-04-01 00:00:00 end: 2024-04-30 23:59:59 period: 1h basePeriod: 15m exchanges: [{"eid":"Futures_Binance","currency":"BTC_USDT"}] */ // This Pine Script™ code is subject to the terms of the Mozilla Public License 2.0 at https://mozilla.org/MPL/2.0/ // © muratatilay //@version=5 strategy( "Kumo Trade Concept", overlay=true, initial_capital=10000, currency=currency.USDT, default_qty_type=strategy.percent_of_equity, default_qty_value=30, commission_type=strategy.commission.percent, commission_value=0.1, margin_long=10, margin_short=10) // ICHIMOKU Lines // INPUTS tenkanSenPeriods = input.int(9, minval=1, title="Tenkan-sen") kijunSenPeriods = input.int(26, minval=1, title="Kijun-sen") senkouBPeriod = input.int(52, minval=1, title="Senkou span B") displacement = input.int(26, minval=1, title="Chikou span") donchian(len) => math.avg(ta.lowest(len), ta.highest(len)) tenkanSen = donchian(tenkanSenPeriods) kijunSen = donchian(kijunSenPeriods) senkouA = math.avg(tenkanSen, kijunSen) senkouB = donchian(senkouBPeriod) // Other Indicators float atrValue = ta.atr(5) // Calculate Senkou Span A 25 bars back senkouA_current = math.avg(tenkanSen[25], kijunSen[25]) // Calculate Senkou Span B 25 bars back senkouB_current = math.avg(ta.highest(senkouBPeriod)[25], ta.lowest(senkouBPeriod)[25]) // Kumo top bottom senkou_max = (senkouA_current >= senkouB_current) ? senkouA_current : senkouB_current senkou_min = (senkouB_current >= senkouA_current) ? senkouA_current : senkouB_current // Trade Setups long_setup = (kijunSen > senkou_max) and (close < senkou_min) short_setup = (kijunSen < senkou_min ) and ( close > senkou_max ) // Check long_setup for the last 10 bars long_setup_last_10 = false for i = 0 to 50 if long_setup[i] long_setup_last_10 := true short_setup_last_10 = false for i = 0 to 50 if short_setup[i] short_setup_last_10 := true closeSenkouCross = (close > senkou_max) and barstate.isconfirmed closeKijunCross = (close > kijunSen ) senkouCloseCross = close < senkou_min kijunCloseCross = close < kijunSen // Handle Trades // Enter Trade var float trailStopLong = na var float trailStopShort = na if ( closeSenkouCross and long_setup_last_10 and closeKijunCross ) strategy.entry(id="Buy", direction = strategy.long) trailStopLong := na if senkouCloseCross and short_setup_last_10 and kijunCloseCross strategy.entry(id="Sell", direction = strategy.short) trailStopShort := na // Update trailing stop float temp_trailStop_long = ta.highest(high, 5) - (atrValue * 3) float temp_trailStop_short = ta.lowest(low, 5) + (atrValue * 3) if strategy.position_size > 0 if temp_trailStop_long > trailStopLong or na(trailStopLong) trailStopLong := temp_trailStop_long if strategy.position_size < 0 if temp_trailStop_short < trailStopShort or na(trailStopShort) trailStopShort := temp_trailStop_short // Handle strategy exit if close < trailStopLong and barstate.isconfirmed strategy.close("Buy", comment="Stop Long") if close > trailStopShort and barstate.isconfirmed strategy.close("Sell", comment="Stop Short") // PRINT ON CHART plot(kijunSen, color=color.rgb(214, 58, 30), title="Kijun-sen", linewidth=2) p1 = plot(senkouA, offset=displacement - 1, color=#A5D6A7, title="Senkou span A") p2 = plot(senkouB, offset=displacement - 1, color=#EF9A9A, title="Senkou Span B") fill(p1, p2, color=senkouA > senkouB ? color.rgb(67, 160, 71, 90) : color.rgb(244, 67, 54, 90)) // PRINT SETUPS plotshape(long_setup , style=shape.circle, color=color.green, location=location.belowbar, size=size.small) plotshape(short_setup, style=shape.circle, color=color.red, location=location.abovebar, size=size.small) // Trail Stop plot(strategy.position_size[1] > 0 ? trailStopLong : na, style=plot.style_linebr, color=color.purple, title="Stop Loss") plot(strategy.position_size[1] < 0 ? trailStopShort : na, style=plot.style_linebr, color=color.purple, title="Stop Loss")template: strategy.tpl:40:21: executing "strategy.tpl" at <.api.GetStrategyListByName>: wrong number of args for GetStrategyListByName: want 7 got 6