FadeBreakout.Ver1 is a cTrader cBot implementing a counter-trend breakout fading strategy using the Donchian Channel (default period 5) to detect breakouts. It enters trades opposite to breakout direction: selling on false upward breakouts and buying on false downward breakouts. Position sizing supports fixed lot or dynamic risk percentage based on a high watermark capital protection model, which adjusts risk relative to peak account balance to limit drawdown exposure.
Stop loss and take profit levels are calculated using the Average True Range (ATR) multiplied by configurable multipliers. Upon reaching the initial take profit (default ATR × 1.9), half the position is closed and the remainder protected by a break-even stop loss. A trailing stop based on ATR is activated thereafter to secure profits.
The bot includes a cool-down mechanism that halts trading for a set number of bars after a defined number of consecutive losses, helping to avoid overtrading during adverse conditions.
Recommended for range-bound markets with frequent false breakouts, it is suitable for symbols like EUR/USD, AUD/USD, EUR/GBP, USD/CHF, and Gold (XAU/USD). Parameters such as Donchian period, ATR period, stop loss, take profit, trailing stop multipliers, and risk settings are adjustable to optimize performance per symbol and timeframe.