OPEN-SOURCE SCRIPT
Strategy Validation Framework - Standardised ATR Exits & 1% Ris
A reusable backtesting template that applies consistent exit conditions to
any entry signal, allowing fair comparison between strategies.
HOW IT WORKS
Exits are driven entirely by ATR (Average True Range). Stop loss is placed
at a configurable multiple of ATR from entry (default: 3x ATR-14). Take
profit is set at a fixed multiple (default: 6x ATR, giving 2:1 R). Position
size is calculated so that the maximum loss on any trade equals a fixed
percentage of current equity (default: 1%), normalising risk across
instruments and account sizes.
WHY THIS EXISTS
Most strategy comparisons produce misleading results because each script
uses different stop distances, lot sizes, and commission assumptions. When
exits are standardised, you isolate the entry signal's actual edge rather
than comparing risk management decisions.
HOW TO USE
1. Paste your indicator logic below the INDICATOR comment line
2. Set longCondition / shortCondition to your entry signals
3. Open Strategy Tester — the framework handles exits, sizing, and costs
The placeholder entry (9/21 EMA cross) is an example only. Replace it.
DEFAULT PROPERTIES
ATR Length: 14 | Stop Loss: 3x ATR | Take Profit: 6x ATR (2:1 R)
Risk per trade: 1% | Commission: 0.01% per side | Slippage: 1 tick
LIMITATIONS
Results depend entirely on the entry logic substituted. The EMA cross
placeholder is for illustration only and does not represent a recommended
strategy. Backtesting results do not guarantee future performance.
any entry signal, allowing fair comparison between strategies.
HOW IT WORKS
Exits are driven entirely by ATR (Average True Range). Stop loss is placed
at a configurable multiple of ATR from entry (default: 3x ATR-14). Take
profit is set at a fixed multiple (default: 6x ATR, giving 2:1 R). Position
size is calculated so that the maximum loss on any trade equals a fixed
percentage of current equity (default: 1%), normalising risk across
instruments and account sizes.
WHY THIS EXISTS
Most strategy comparisons produce misleading results because each script
uses different stop distances, lot sizes, and commission assumptions. When
exits are standardised, you isolate the entry signal's actual edge rather
than comparing risk management decisions.
HOW TO USE
1. Paste your indicator logic below the INDICATOR comment line
2. Set longCondition / shortCondition to your entry signals
3. Open Strategy Tester — the framework handles exits, sizing, and costs
The placeholder entry (9/21 EMA cross) is an example only. Replace it.
DEFAULT PROPERTIES
ATR Length: 14 | Stop Loss: 3x ATR | Take Profit: 6x ATR (2:1 R)
Risk per trade: 1% | Commission: 0.01% per side | Slippage: 1 tick
LIMITATIONS
Results depend entirely on the entry logic substituted. The EMA cross
placeholder is for illustration only and does not represent a recommended
strategy. Backtesting results do not guarantee future performance.
Script de código aberto
Em verdadeiro espírito do TradingView, o criador deste script o tornou de código aberto, para que os traders possam revisar e verificar sua funcionalidade. Parabéns ao autor! Embora você possa usá-lo gratuitamente, lembre-se de que a republicação do código está sujeita às nossas Regras da Casa.
We test strategies so you don't have to. Research: @backtestbay · Tools: backtestbay.gumroad.com
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.
Script de código aberto
Em verdadeiro espírito do TradingView, o criador deste script o tornou de código aberto, para que os traders possam revisar e verificar sua funcionalidade. Parabéns ao autor! Embora você possa usá-lo gratuitamente, lembre-se de que a republicação do código está sujeita às nossas Regras da Casa.
We test strategies so you don't have to. Research: @backtestbay · Tools: backtestbay.gumroad.com
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.