MK Flip Strategy

MK Flip Reversal Strategy
💡 Core Concept
This strategy is designed to capture price reversals at significant Swing High/Low points. It utilizes a special 4-candle pattern (called the "MK Flip") as the core of its trade entries, combined with a flexible risk management system and signal filtering to increase precision and control losses within predefined limits.

✨ Key Features

Unique Entry Pattern: Uses a tested 4-bar reversal pattern for signal generation.

Advanced Risk Management: Automatically calculates position size based on a fixed USD risk you define (Risk per Trade), ensuring consistent risk exposure.

Dual Execution Modes:

Simple Mode: Sets a Pending Limit Order, waiting for price confirmation.

Advanced Mode: Waits for price confirmation then enters with a Market Order, featuring a complex timeout system.

Flexible Timeout System: Independently choose to use a time-based expiration (Grace Period) or an RSI-based expiration (RSI Timeout).

Dual-Layer Signal Filtering: Comes with two filters to improve signal quality:

RSI Divergence Filter: Filters signals based on price/RSI divergence.

Swing/Breakout Filter: Ensures the pattern occurs at a significant turning point or as a breakout of a recent range, not in the middle of a sideways market.

📊 Recommended Pairs & Timeframe
Based on initial testing, this strategy has shown interesting results on the H1 Timeframe for the following assets:

Forex: EUR/AUD, EUR/CAD, EUR/USD, USD/JPY

Indices: US30 (Dow Jones)

Crypto: BTC/USD

Recommendation: Users should perform their own backtesting and parameter optimization to suit each specific asset and the market conditions at that time.

⚙️ Key Parameters

Risk per Trade (USD): The core of risk management; the maximum amount you are willing to lose on a single trade.

Risk/Reward Ratio: Defines your profit target relative to your stop loss (e.g., a value of 3 means the take profit is 3 times the risk).

Execution & Timeout Modes: Choose the entry style and expiration conditions that fit your trading approach.

Swing/Breakout Filter: Use the Lookback Period to adjust the filter's sensitivity (a higher value = fewer, but more significant, signals).

⚠️ Disclaimer

No Perfect Strategy: This strategy is not a "Holy Grail" and, like all strategies, is subject to losses.

Backtesting is in the Past: Past performance from backtests does not guarantee future results. Market conditions can and do change.

Risk Management is Crucial: This tool should be used in conjunction with sound personal risk management. Never risk more than you can afford to lose.

Optimization is Required: All users are strongly advised to conduct their own testing and optimization of the settings to fit the asset and timeframe they intend to trade before live deployment.