26Min·

Update Trading Script Daytrading BoxStrategy

$OUST
$IREN (+0,41 %) In the meantime, my day trading script for the box strategy has also "matured" 😁

With approx. 1,600 lines of code, I now have a status with which I can carry out extensive tests. In addition to the script, Claude has also created a manual in DE and EN for the strategy and all settings, the code is also fully commented.

Towards the end, good exits were the trickiest part of the script. The entries were OK quite quickly, but sometimes the exit was not automatic or the profits were lost again until the trade reached the SL again at some point. But that has now been solved.

The trades are automated, in addition to the corresponding price action and confirmation candles, I can also set the exit scenarios quite flexibly. From fixed SLs and TPs to dynamic SLs above or below the candles to automatically trailing SLs etc.

Here is an example from Ouster of how the trade is started based on the signal candle (hammer) in the activation zone and then the SL runs from the break-even protection to the automatic transition to the trailing SL and take profit.

Now it's time to test extensively with many different stocks! I will report back once the tests are complete.

#trading

TomTurboInvest

@TomTurboInvest

1Semana·

Day trading automation supported by scripts and AI

$IREN (+0,41 %) In the course of the "momentum" of trading with the help of AI, I am testing some of my standard setups. AI is actually only used indirectly here, i.e. I have had my indicator and strategy scripts scripted and improved with the help of Claude and Copilot. In the end, there have been around 25 iterations so far 😂

There will be a few more, as I want to improve the strategy in relation to price action and dynamic SL.

Enclosed for those interested in day trading my results on the box setup. What is the box theory about?

In box theory day trading, it is assumed that the price tends to overreact at the edges of the previous day's range: at the upper edge, a downward bounce is expected with increased probability (= short trade), as this is where the strongest sellers entered the market the day before. Whereas the lower edge is more likely to see an upward rebound is more likely to occur at the lower edge, as the strongest buyers entered the market the day before (= long trade). This creates clearly defined zones in which traders can speculate on trend reversals or false breakouts.

Management is important here in the event of a strong trendi.e. when the breakout from the box occurs. This is where the know-how of Orderflow and PriceAction comes into play. This was the trickiest part of my scripts, but with the help of AI I was able to code it 😁

For example, I can adjust the hysteresis of the activation zones at the bottom and top edge in the settings. I can also trade based on wick or body. Restrict order times and activate or deactivate confirmation candles for the fire signal.

☝What is really interesting is that with very conservative risk management (SL at -1% / TP up to +10%) a good result is achieved! A fairly low win rate of under 30% is enough to make a good 50%+ in half a year, and that with a maximum drawdown of 5%☝😆

Enclosed a screenshot of the sample 5min chart October 2025-April 2026

In the upper part of the screenshot you can see the chart, on the right the orange box, which represents the range of the previous day. At the upper edge you can see the area highlighted in red, which represents the short activation zone using the script. If the candlestick formation matches my strategy, the "fire" signal appears and triggers the short trade.

In the lower area you can see the statistics of all trades since October 2025.

UPDATE: I have added a small detail so that I can use a toggle to choose whether I want to wait for the trade to close or let it continue until the SL / TP. The drawdown risk goes up, but so does the return - 28% to +195%

#trading

+ 1

2 Comentarios

Michael@market_whizkid_2675

12Min

It all sounds incredibly exciting and a bit like a shortcut to building up capital. Unfortunately, I don't understand how the bot works, i.e. the basics for setting it up. How do you do the backtesting? Do you know that your hit rate works well across all market phases?

•

TomTurboInvest@TomTurboInvest

3Min

@market_whizkid_2675 I do backtesting directly in TradingView. Because I test many stocks (large caps to small caps), I cover a lot, including different market phases. The critical thing about the mean reversion strategy is that I have to suppress trades or hedge them closely if the trend is strong and breaks out of the box. I intercept this via my activation zones. I place them at the edges of the box with a hysteresis that works both outside and inside the box. And trades are only triggered in the activation zone, but only if the price action, i.e. previous and subsequent candles, match. The candle size in relation to the range is also taken into account. The script is now quite complex, even opening and closing ranges can be excluded, or the overriding trend can be included.
The hit rate does not have to be that high if the losers are strictly limited. The win rate is rarely over 50%, but the performance can still be over 100%.
All my trading knowledge has gone into it, so I am refraining from publishing it for the time being. If it works sustainably, then I can consider whether to publish it or just sell it.

••