What strategy can be used for such a situation?

Hi everyone,

I'm trying to code a strategy that can be effective in the situation shown in the picture attached. For discussion purpose, let's call it a 'volatile range'. The picture is on a 1-hr chart. At a longer time frame, it will look like a normal range. At a smaller time frame, it will look like a nice trend. Please don't tell me to zoom into a smaller time frame and code a trend strategy, or go to a longer time frame and code a range strategy. I'm trying to solve the situation as illustrated, because it can happen at any time frame.

Any suggestions on how to place a trade? Any strategy to 'out-perform' under such market conditions?

I've tried trend techniques and they end up buying when price is high and shorting when price is low. I also tried reversion techniques (eg, BBands, iEnvelope, RSI, Stoch) and the price action always hits the reasonable SL before turning around.

Many thanks in advance!

bullish entry when open below center band line and bid/ask/ or close crosses center line, vice versa for bearish entry. SL/TP you may have to play with.

Hi Sebastian,

Thanks for the suggestion. Visually on that picture looking from left to right, it's about 6 wins to 4 losses, at reward/risk slightly greater than 1. Any suggestions from other readers?

Enter short when close is greater than previous close for the 6 previous bars.