Don’t enter trade if range last XX candles greater than XX

Hi Tomas et all,

 

I am going through the last touches of my strategy. I trade in the direction of the underlying trend based on MAs, however, sometimes price makes an impulsive move against intended trade direction (short in the pict). I want to avoid entering these type of trades on crossover. So I was thinking to set a condition that if last 20 candles’ range is greater than say 40 pips or 3x ATR, then don’t enter trade.

 

What other ideas do you have to avoid entering a crossover straight into the origin of an impulsive move? Trades tend to struggle against such impulsive move despite going with trend. 

 

I attach an example. 

 

As always, thanks in advance. 

I’d be really interested to her your thoughts on this one. I am looking to avoid these situations against impulsive moves…

One of the filter for this could be to measure the distance between the slowest moving average and signal price. It is not good to enter against the moving average