Swing Breakout Sequence Indicator
Created 06 Sep 2024
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Updated 07 Mar 2025
The Quantower Swing Breakout Sequence indicator is a Premium indicator inspired by Stoic Trader's trading model.
Prerequisites
To use this indicator you should have the following prerequisites available.
- Quantower trading platform, version v1.141.19. Click here to download the platform.
- A free Quantower license.
- An automated-trading.ch account with an active Premium Subscription
Description
This indicator implements a high-probability entry model with a defined risk/reward ratio. The entry model is based on a sequence of 5 swings — the long-model entry; the short-model entry is the exact inverse.
Examples
Detection of Entries Based on the Swing Breakout Sequence
On the NQ instrument on the 15-second timeframe, a bullish Swing Breakout Sequence was triggered when Swing 3 was broken. A dashed line links the breakout bar and the Swing 3 price, marking the breakout level. In real-time mode, the sequence is only drawn once the breakout occurs — the whole SBS pattern is drawn at once, along with a sound alert if that parameter is enabled.
Not All Sequences Are Winning Sequences
A second bullish pattern, detected with the same parameters, was not a success — price immediately pulled back in the other direction. Not all SBS sequences are profitable; the pattern isn't perfect. The Quality Filter filters out bad SBS instances, but some will always slip through.
Two Successful Sequences on the Same Chart
A third example illustrates two successful sequences, bullish then bearish, on the 1-minute NQ chart. The strategy here is to open a trade when the breakout is triggered, set the stop loss either on Swing 4 or Swing 5's price, and use a 1:1 profit-to-loss ratio.
Features
The Swing Breakout Sequence indicator has a set of unique features:
- Plots the Swing Breakout Sequence on any timeframe
- Sound alerts
- Highly customizable, lightweight, and adaptable to a wide range of instruments
Parameters
We always try to keep the parameters to a minimum.
| License | |
| License | The license key you get when you create an account on automated-trading.ch. After creating an account, copy your license key from the billing page. You need to set this parameter only once — once validated, it will be remembered. |
| Swing Period | Swings are higher lows, higher highs, lower highs and lower lows. After each price bar closes, a swing can be detected, but the next bar (or the one after) can cancel it by creating a new swing of the same type. The swing period sets how many bars are enough to separate two swings of the same type — a value of 3 or 4 is common. |
| Quality Filter |
Sets a filter on the quality of detected SBS based on certain criteria.
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| Show Sequence Numbers | Enables/disables drawing number labels below/above each swing sequence point. |
| Show Sequence Lines | Enables/disables drawing lines connecting the swing sequence points. |
| Draw Breakout Level | Enables/disables drawing a line between the breakout swing and the current bar that triggered breaking that swing level. |
| Show Signal Arrow | Enables/disables drawing the arrow on each valid swing sequence breakout. |
| Play Sound | Enables playing an alert sound when a swing sequence is detected. |
| Breakout Swing |
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| Breakout Fibo Level | Only used if Breakout Swing is set to Fibonacci Retracement — validates and draws the pattern when price hits the chosen Fibonacci level (23.60%, 38.20%, 50%, 61.80%, or 76.40%) calculated from Swing 4 in the sequence. |
| Rendering | |
| Bullish Brush / Bearish Brush | Draw color of bullish/bearish items on the chart. |
Download & Installation Instructions
License Requirements
At automated-trading.ch you can choose to either purchase a monthly subscription to use our premium products, or use our free products without subscribing.
In both cases, you need to create an account so you can get a License you can use for both premium and free products.
To obtain your license, simply sign up and then get your license on the billing page.
Download
You can also download this strategy — and every other automated-trading.ch strategy or indicator — anytime from your centralized Downloads page.
Installation Steps
Frequently Asked Questions
General
Subscriptions Q&A
Release Notes
- Updated the indicator for Quantower v1.141.19; Fixed bad drawing of numbers and arrows on lower timeframes
- Removed strong condition on Swing5 price. Before this update, Swing5 required to be below/above Swing4. This condition was removed which now means that Swing4 and Swing5 are only required to be successive Swing Lows (for bullish) or Swing Highs (for bearish) regardless of whether Swing5 is higher or lower than Swing4
- First Release of the indicator