Intraday breakout strategy "Explosion"

Another breakout strategy for intraday trading. We do not know the original name of this strategy, but in some sources it is called "Explosion"

The range of interest to us is formed from 17.00 to 20.00 New York time. Thus, in calculating the parameters of the price range, hourly candles are used that are open at 17.00, 18.00 and 19.00 New York time, a candle open at 20.00 does not participate in the formation of the original box.

Entering the long. We buy on the upside breakout of the original range, with the SL set slightly below the low of the range

Entering the short. We sell on a downside breakout of the original range, with an SL set slightly above the high of the range.

Determination of take profit. In the original strategy, TP is calculated as a multiple of the box height, for gold TP is usually 100-150 pips.

You can also enter a trade using pending orders. When one of the orders is triggered, the second one must be deleted.

Like most breakout strategies, this strategy works the better the smaller the box's range. If the box height is more than 100 pips, then it is better not to use the strategy on this day.

There is such a pattern: if the strategy gave a buy signal, the pair grew and then fell below the border of the box, then only in one case out of three there is a downward movement, in other cases a lateral movement begins.

Strategy signals are valid only during the current day. The main principle of the strategy: one trade a day