Rectangle

Rectangle Trader (added 2/28/2003)

{#OptVar1 4;3;6;1}
{#OptVar2 12;10;20;1}
{#OptVar3 30;10;40;10}
{#OptVar4 3;2;5;1}
{#OptVar5 1;1;4;1}
{#OptVar6 1;1;4;1}
{#OptVar7 1;1;4;1}
var BAR: integer;
var Rectangle, Range: float;
var RectangleHeight, RangeHeight: integer;
var L1, L2, L3, L4, L5, L6, L7: integer;
HideVolume;
L1:=#OptVar1;    //Rectangle Length
L2:=#OptVar2;    //Range Length
L3:=#OptVar3;    //ATR Length
L4:=#OptVar4/10; //Rectangle Ratio
L5:=#OptVar5/4;  //Profit Factor
L6:=#OptVar6/4;  //StopLoss Factor
L7:=#OptVar7/4;  //Entry Factor

{ Fill Series Data  }
RectangleHeight := CreateSeries;
RangeHeight := CreateSeries;
for bar:=L2 to barcount-1 do
begin
Rectangle:=(Highest(Bar,#High,L1)-Lowest(Bar,#Low,L1));
Range:= (Highest(Bar-L1,#High,L2)-Lowest(Bar-L1,#Low,L2));
SetSeriesValue(Bar,RectangleHeight, Rectangle);
SetSeriesValue(Bar,RangeHeight, Range);
end;

{ Trading System Rules }
for Bar := L2 to BarCount() - 1 do

begin
{ Exit Rules }
if LastPositionActive() then
 begin
    if PositionLong( LastPosition() ) then
      begin
      SellAtLimit( Bar + 1,PositionEntryPrice(LastPosition)+ATR(Bar,L3)*L5, LastPosition, 'LX');
      SellAtStop( Bar + 1,PositionEntryPrice(LastPosition)-ATR(Bar,L3)*L6, LastPosition, 'LS');
      end  {Last Position Active Long}
     else
      begin
      CoverAtLimit( Bar + 1,PositionEntryPrice(LastPosition)-ATR(Bar,L3)*L5, LastPosition, 'SX');
      CoverAtStop( Bar + 1,PositionEntryPrice(LastPosition)+ATR(Bar,L3)*L6, LastPosition, 'SS');
      end {Last Position Active Short}
 end {Last Position Active }

else
 begin
{ Entry Rules }
if (GetSeriesValue(Bar,RectangleHeight)>0) and (GetSeriesValue(Bar,RangeHeight)>0) then
if (((GetSeriesValue(Bar,RectangleHeight)/GetSeriesValue(Bar,RangeHeight))<L4)
and  (GetSeriesValue(Bar,RectangleHeight)<ATR(Bar,L3)))
then
    begin
    DrawRectangle( Bar, Highest(Bar,#High,L1), Bar-L1, Lowest(Bar,#Low,L1), 0, #Blue, #Thick, #BlueBkg, true );
    BuyAtStop (Bar+1, Highest(Bar,#High,L1)+ATR(Bar,L3)*L7,'LE');
    ShortAtStop (Bar+1, Lowest(Bar,#Low,L1)-ATR(Bar,L3)*L7,'SE');
    end;
 end;
end;

Identifies a rectangular range in the chart (occurs when there is a lull in trading as in lunchtime) - enters trade on a breakout of the rectangle - can use the "Breakout Entry" mode of Bracket Trader for automatic entry. The concept is based onthe ACME R system.

Based on the book "Professional Stock Trading" ==>

Warning: Use this script at your own risk.

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