SMA breakout (Donchian-style) strategyvsSMC CHoCH + FVG entries strategy
SMA breakout (Donchian-style) strategy: Buy a fresh push above the 20-bar mean and trail the winner until it folds. Β· SMC CHoCH + FVG entries strategy: Market Structure says which way, the first Fair Value Gap in that direction says go now.
SMA breakout (Donchian-style) strategy
Buy a fresh push above the 20-bar mean and trail the winner until it folds.
SMC CHoCH + FVG entries strategy
Market Structure says which way, the first Fair Value Gap in that direction says go now.
Indicators
- SMA (period 20)
- Market Structure (swing 20)
- Fair Value Gap (min gap 0.1%)
Timeframes
Bias
Long only
Long & short
Market fit
Volatility expansion
Range-bound
Entry rules
- Enter long when close crosses above the 20-bar SMA.
- 4-bar cooldown after exit reduces back-to-back whipsaws.
- Long on a bullish FVG while market structure is in a +1 (bullish) regime.
- Short on a bearish FVG while market structure is in a -1 (bearish) regime.
Exit rules
- Close on a cross back below the SMA.
- Trailing 5% stop catches deeper retracements before the SMA flips.
- Regime flip through zero in either direction closes the trade.
- 5% trailing stop, 5-bar cooldown.
Expected behavior
Trendy growth in directional regimes punctuated by ugly chop when price oscillates around the SMA. Best paired with a higher-timeframe trend filter to skip the chop.
Picky β both legs must agree. Long flat stretches followed by clusters of trades when a regime turns and FVGs print along the way. Stacks well in directional markets, sits out balanced ranges.
Complexity
Which one is right for you?
Derived from the bias, timeframe and indicator profile of each strategy β not a back-test forecast.
When to pick SMA breakout (Donchian-style) strategy
- You expect volatility expansion β the thesis is "Buy a fresh push above the 20-bar mean and trail the winner until it folds."
- You want a long-only bot on 1hβ1d candles with a balanced rule-set.
- You're comfortable monitoring 1 indicator (SMA (period 20)).
Buy a fresh push above the 20-bar mean and trail the winner until it folds.
When to pick SMC CHoCH + FVG entries strategy
- You expect range-bound β the thesis is "Market Structure says which way, the first Fair Value Gap in that direction says go now."
- You want a long & short bot on 15mβ4h candles with a balanced rule-set.
- You're comfortable monitoring 2 indicators (Market Structure (swing 20), Fair Value Gap (min gap 0.1%)).
Market Structure says which way, the first Fair Value Gap in that direction says go now.
SMA breakout (Donchian-style) strategy
Buy a fresh push above the 20-bar mean and trail the winner until it folds.
SMC CHoCH + FVG entries strategy
Market Structure says which way, the first Fair Value Gap in that direction says go now.
Related comparisons
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