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Renko BrickBox A

Package:  Progster's Renko BrickBox Strategy A

There are multiple ways to trade a market after performing a Renko analysis of it's price action.  This add-on to Swisstrader's Renko Bricks Indicator Package implements a range-based, trade-the-box style of Renko trading.

What It Is

A single strategy which treats Renko bricks as tradable "boxes", going long on closes "near" the brick bottom, or short on closes "near" the brick top.  Profit target and stop loss are expressed in #'s of Renko bricks (fractions allowed), and the brick size itself is settable/optimizable.

The notion of "near" is variable (and optimizable) so that the strategy can trade either "just inside" or "just outside" of the current brick boundary. 

Example test results from this strategy have been presented in the Renko BrickBox Strategy Research topic in the CFT Forum.

What It Looks Like

Here is a picture of the Renko BrickBox Strategy A applied to a 30m chart of JPM:


Note how price must move beyond (in this case) the brick boundary by a sufficient amount, after which the trade is triggered.  This is a "gray box" strategy, so there are a number of subtle entry variations to be selected and/or optimized over.

And here is a picture of the strategy trading a 50t chart of the ER2:


The strategy optimizes easily and quickly on any symbol or timeframe.

You set the scale of interest with your definition of brick size (or let the optimizer vary it), then run the strategy to find out what how much motion was predictive of a subsequent tradable retracement for the historical data under test.

How It Works

This strategy uses SwissTrader's Renko function to calculate all Renko information.

The function call makes available to the strategy:

bullet a flag to indicate when a new brick is formed (and in which direction)
bullet the high, middle, and low value of the newly formed brick
bullet the age of the current brick
bullet the number of bricks in the current "brick trend"

and the strategy acts to enter either "inside" or "outside" after bricks of the specified size form.

Special Features

Brick height (price range) may be specified in ticks, or in percent (of price). 

Using a brick height in ticks is ideal when daytrading on a low timeframe chart, taking advantage of the strategy's ability to "reset" the Renko calculation at the start of each new session.

Using a brick height in percent provides an "apples-to-apples" comparison of how different symbols trade using this Renko "bet on retracement" technique on high timeframes (i.e. swing trading).

The strategy will form bricks using a "since forever" Renko, or it will reset with each session to any of 3 different reset levels.

If you purchase the source-code option (only $125 additional), you  will be able to alter the strategy or create your own custom variations of it as desired.

What You Get

A protected .ELD file (non-disclosed source code) containing 'Renko BrickBox Strategy A'.  This will let you perform the same tests (and more!) as shown  in the public Renko BrickBox Strategy Research of the CFT Forum, on whatever symbols and timeframes you desire.

The source-code option, if purchased, provides a .eld or text file with fully disclosed code for 'Renko BrickBox Strategy A'.

What It Costs

The price of the closed-code base package is $200.     The source-code is available for $125 extra. 

(Note: The pre-requisite Swisstrader's Renko Bricks Indicator Package is $300, so that's a total of $500 to be up-and-running with this strategy code already written for you, or $625 with strategy source-code included.)

Renko BrickBox Strategy A for TradeStation -  $200 

How You Get It

This package must be purchased at the same time as, or anytime after, purchasing Swisstrader's Renko Indicator Package.  You may purchase the closed-code base strategy package with the 'Add to Cart' button near the top left of this page.

After receiving and installing the base package, contact CFT for additional instructions if you wish to purchase the source-code option.

The package will be emailed to you after your PayPal payment is processed.

Please be aware of the caveats before you order.