CMA TECHNOLOGIES 
I Algo Systems I
CMA TECHNOLOGIES 
I Algo Systems I
  • Home
  • Services
  • Free Bots
  • About Us
  • Privacy Policy
  • Terms of Use

Inside Bar Breakout

Report

Application

Application

 Price Compression to Expansion Strategy
This strategy focuses on one of the most fundamental market patterns: the Inside Bar. It seeks to exploit volatility compression followed by a directional breakout, often occurring before significant price movements. With a configurable breakout buffer and auto flip logic, this bot is ideal for intraday or swing trading setups.

Pattern Logic:
Inside Bar Definition:
A candle is considered an "inside bar" if its high is lower than the previous candle’s high and its low is higher than the previous candle’s low. This structure often signals market indecision and upcoming expansion.

Breakout Confirmation (1-bar delay):
Trade is not taken during the inside bar, but only on the next candle, if the price:

Breaks above the high of the inside bar + configurable buffer

Breaks below the low of the inside bar – configurable buffer

Breakout Buffer (%):
A small margin (e.g., 0.01%) is added to reduce noise and avoid false triggers.

Entry & Flip Logic:
Long Entry:
Triggered if previous bar is an inside bar and current close > inside high × buffer.
If currently short, the position is flipped.

Short Entry:
Triggered if previous bar is an inside bar and current close < inside low × buffer.
If currently long, the position is flipped.

Position Flip Mechanism:
The bot can automatically switch direction by closing the opposite position first before entering the new trade.

Application

Application

Application

 Visual Features:

Entry signals are marked on chart:  Green triangle below bar → long breakout  Red triangle above bar → short breakout  Clean, minimal interface — ideal for active monitoring or backtesting.  


Strategy Settings:

Default Position Size: 50% of equity  Pyramiding: Up to 5 layered entries allowed  Commission: Includes 0.05% realistic fee modeling  


Best Use Cases:

Performs best on 15m, 1h, or 4h timeframes. Particularly useful during consolidation phases, news-driven compression, or after high-volatility expansions. Works on crypto, forex, indices, and stocks.  


Final Notes:

Inside bar breakouts offer excellent risk-to-reward setups, but not every breakout leads to continuation. For added robustness, users can combine this with volatility filters or higher timeframe trend checks.  Note: Different assets may require specific parameter adjustments. Users are responsible for optimizing the strategy settings for the asset they trade. Please ensure you fine-tune the parameters according to your trading pair.
 

Contact Us For Code information

If you are interested in our free bots drop us a line for codes or other information.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

CMATECH

Copyright © 2025 CMATECH I All Rights Reserved I CMA Technologies is an initiative of Adeah LLC. WY USA I

  • Services
  • Free Bots
  • About Us
  • Privacy Policy
  • Terms of Use
  • TCS
  • UBS

Powered by

This website uses cookies.

We use cookies to analyze website traffic and optimize your website experience. By accepting our use of cookies, your data will be aggregated with all other user data.

Accept