Breakout Strategy

//@version=6
strategy("Breakout Strategy", 
     overlay=true, 
     default_qty_type=strategy.percent_of_equity, // 
     default_qty_value=10, // Invests 10% of capital per trade
     pyramiding=0) // Does not allow adding to an existing position 

// --- 1. INPUT PARAMETERS (Configurable by the user) ---
// Breakout parameter group
var group_channels = "Breakout channels"
int entryLength = input.int(20, "Entry breakout period", minval=2, group=group_channels)  
int exitLength = input.int(10, "Period for outbound breakout", minval=1, group=group_channels) 

// Grupo de Parámetros de Gestión de Riesgo
var group_risk = "Risk management and confirmation"
bool useSL = input.bool(true, "Use stop loss", group=group_risk) 
float slMultiplier = input.float(2.0, "ATR multiplier for stop loss", minval=0.1, group=group_risk)  

bool useTP = input.bool(true, "Use Take Profit", group=group_risk) 
float tpMultiplier = input.float(4.0, "ATR multiplier for Take Profit", minval=0.1, group=group_risk) 

int atrPeriod = input.int(14, "ATR period", minval=1, group=group_risk)  

// Wait for the candle to close
bool useBarConfirm = input.bool(true, "Wait for confirmation of the candle?", 
     tooltip="Wait for the candle to close before entering/exiting. This helps prevent repainting.", group=group_risk) 


// --- 2. CALCULATIONS ---
// Calculate the ATR for risk management
float atr = ta.atr(atrPeriod)  

// Calculate the input channels (we use [1] to refer to the *previous* candle)
float upperEntry = ta.highest(high, entryLength)[1] 
float lowerEntry = ta.lowest(low, entryLength)[1] 

// Calculate the output channels
float upperExit = ta.highest(high, exitLength)[1] 
float lowerExit = ta.lowest(low, exitLength)[1] 

// Confirmation status
// We use barstate.isconfirmed to prevent the strategy from operating in the middle of the candle. 
bool confirmation = useBarConfirm ? barstate.isconfirmed : true 


// --- 3. STRATEGY LOGIC ---
// Terms and Conditions of Entry
bool enterLong = (close > upperEntry) and confirmation  
bool enterShort = (close < lowerEntry) and confirmation  

// Exit Conditions (by opposite signal)
bool exitLong = (close < lowerExit) and confirmation
bool exitShort = (close > upperExit) and confirmation


// --- 4. EXECUTION OF ORDERS ---
// Calculate SL and TP levels
float entryPrice = strategy.position_avg_price 
float sl_long = entryPrice - (atr * slMultiplier)
float tp_long = entryPrice + (atr * tpMultiplier)
float sl_short = entryPrice + (atr * slMultiplier)
float tp_short = entryPrice - (atr * tpMultiplier)

// Entry
if (enterLong and strategy.position_size == 0) // Enter only if there is no open position 
    strategy.entry("Entrada Long", strategy.long)  

if (enterShort and strategy.position_size == 0) // Enter only if there is no open position 
    strategy.entry("Entrada Short", strategy.short) 

// Signal outputs
if (exitLong)
    strategy.close("Entrada Long", comment="Salida por Señal")  

if (exitShort)
    strategy.close("Entrada Short", comment="Salida por Señal")  

// Stop Loss and Take Profit Exits
if (strategy.position_size > 0) // If we are in a long trade 
    strategy.exit("Stop/Profit Long", 
         stop = useSL ? sl_long : na, 
         limit = useTP ? tp_long : na)  

if (strategy.position_size < 0) // If we are in a short trade   
    strategy.exit("Stop/Profit Short", 
         stop = useSL ? sl_short : na, 
         limit = useTP ? tp_short : na) 


// --- 5. PLOT (Visualization) ---
plot(upperEntry, "Upper Channel (Entrance)", color=color.new(color.green, 0))  
plot(lowerEntry, "Lower Channel (Entrance)", color=color.new(color.red, 0))  

plot(upperExit, "Upper Channel (Outlet)", color=color.new(color.green, 70), style=plot.style_circles, linewidth=2)  
plot(lowerExit, "Lower Channel (Outlet)", color=color.new(color.red, 70), style=plot.style_circles, linewidth=2)