Before You Read
The system discussed here detects both manual and quantitative elements, leading it back to a hybrid category. The entire process—from development and backtesting to real-time implementation of the system—includes the consideration of commission costs for each trade, and all trades are conducted during Regular Trading Hours (RTH). For a better understanding of this article, we recommend that you read the following posts:
- Maximize profits with range breakout trading strategies
- Understanding Maximum Adverse Excursion (MAE) and Maximum Favourable Excursion (MFE) in trading systems
Introduction
In this article, I’ll walk you through the process of developing and implementing a breakout system based on 233-tick range bars for MNQ futures. By combining clear rules with methodical backtesting, and putting the strategy into practice in live markets, this case study offers a grounded look at how a trading system evolves from concept to execution. If you’re interested in exploring the practical side of trading strategies, this is a comprehensive guide to understanding both the technical and real-world aspects of system design, testing, and performance monitoring.
Preview
Interested in seeing how a breakout system can be developed and applied to MNQ futures? In this article, I share a step-by-step approach to building a strategy around 233-tick range bars, carefully testing it, and then implementing it in live trading. You’ll gain insights into the decision-making process behind system development and see how it performs in actual market conditions. This is an honest look at trading strategy design, with a focus on practical application and performance monitoring.
Unlock the full article and much more by becoming a premium subscriber. Our exclusive content is just a click away.
