Algo Trading using 52 Week High Low Strategy

52 Week HL Strategy

In this episode, we will be
scripting a Strategy for intraday traders to trade using a
simple 52 Week HL. This strategy is back-testable.

So, let’s begin with the rules….

Rules

Buy :
We need to buy, If price closes above the 52 Week High
Short :
We need to short, If price closes below the 52 Week Low
Simple., isn’t it?

Moving on to the script part.

First, we setting the 52 Week High and Low value in the chart title for
easy usage and setting the title.

_SECTION_BEGIN(“52-Wk-H-L”);

Hclose=HHV(H,250);

Lclose= LLV(L,250);

Sha1 =
EncodeColor(colorGreen) + “52-Week-High = ” + Hclose +
“\n”;

Sha2 =
EncodeColor(colorRed) + “52-Week-Low = ” + Lclose + “\n”;

_N(Title =
StrFormat(“{{NAME}} ({{INTERVAL}}), {{DATE}} ; {{OHLCX}}, V=%1.0f\n
{{VALUES}}\n\n”, V) + Sha1 + Sha2);

_SECTION_END();

Then comes the buy and sell signal,

Buy = Close > Ref(HHV(High,250),-1);

Sell = Close < Ref(LLV(Low,250),-1);

We will buy, If price closes
above the 52 Week High

Likewise, We will short, If
price closes below the 52 Week Low

For 52 Week high, we will be
considering 250 candl es. Considering we have 5 working days a week, we will have
260 working days and we are taking out 10 days for holidays, so 250 candles is
good enough.

//52 Week High Low

High52 = HHV(High,250);

Low52 = LLV(Low,250);

Filter = 1;

Last few lines of code is to
plot the values to back test report which is not mandatory.

AddColumn(High52,”52 Week High”);

AddColumn(Low52,”52 Week
Low”);

Check Out Script Library to get script used for this episode:

https://marketsecrets.in/script-library/

To know more, checkout: