Twisted Forex's Doji + Area Strategy

Title
Twisted Forex’s Doji + Area Strategy

Description
What this strategy does
This strategy looks for doji candles forming inside or near supply/demand areas. Areas are built from swing pivots and sized with ATR, then tracked for retests (“confirmations”). When a doji prints close to an area and quality checks pass, the strategy places a trade with the stop beyond the doji and a configurable R:R target.

How areas (zones) are built
• Swings are detected with a user-set pivot length.
• Each swing spawns a horizontal area centered at the pivot price with half-height = zoneHalfATR × ATR.
• Duplicates are de-duplicated by center distance (ATR-scaled).
• Areas fade when broken beyond a buffer or after an optional age (expiry).
• Retests are recorded when price touches and then bounces away from the area; repeated reactions increase the zone’s “strength”.

Signal logic (summary)

Doji detection: strict or loose body criteria with optional minimum wick fractions and ATR-scaled minimum range.

Proximity: price must be inside/near a supply or demand area (proxATR × ATR).

Side resolution: overlap is resolved by (a) which side price penetrates more, (b) fast/slow EMA trend, or (c) nearest distance. Optional “previous candle flip” can bias long after a bearish candle and short after a bullish one.

Optional 1-bar confirmation: the bar after the doji must close away from the area by confirmATR × ATR.

Quality filter (Off/Soft/Strict): four checks—(i) wick rejection past the edge, (ii) doji closes in an edge “band” of the area, (iii) fresh touch (cooldown), (iv) approach impulse over a short lookback. In Strict, thresholds auto-tighten.

Orders & exits
• Long: stop below doji low minus buffer; Short: above doji high plus buffer.
• Target = rrMultiple × risk distance.
• Pyramiding is off by default.

Position sizing
You can size from the script or from Strategy Properties:
• Script-driven (default): set Position sizing = “Risk % of equity” and choose riskPercent (e.g., 1.0%). The script applies safe floors/rounding (FX micro-lots by default) so quantity never rounds to zero.
• Properties-driven: toggle Use TV Properties → Order size ON, then pick “Percent of equity” in Properties (e.g., 1%). The header includes safe defaults so trades still place.

Key inputs to explore
• Zone building: pivotLen, zoneHalfATR, minDepartureATR, expiryBars, breakATR, leftBars, dedupeATR.
• Doji & proximity: strictDoji, dojiBodyFrac, minWickFrac, minRangeATR, proxATR, minBarsBetween.
• Overlap resolution: usePenetration, useTrend (EMA 21/55), “previous candle flip”, needNextBarConf & confirmATR.
• Quality: qualityMode (Off/Soft/Strict), minQualPass/kStrict, wickPenATR, edgeBandFrac, approachLookback, approachMinATR, freshTouchBars.
• Zone strength gating: minStrengthSoft / minStrengthStrict.
• HTF confluence (optional): useHTFTrend (HTF EMA 34/89) and/or useHTFZoneProx (HTF swing bands).

Tips to make it cleaner / higher quality
• Turn needNextBarConf ON and use confirmATR = 0.10–0.15.
• Increase approachMinATR (e.g., 0.35–0.45) to require a stronger pre-touch impulse.
• Raise minStrengthSoft/Strict (e.g., 4–6) so only well-reacted zones can signal.
• Use signalsOnlyConfirmed ON if you prefer trades only from zones with retests (the script falls back gracefully when none exist yet).
• Nudge proxATR to 0.5–0.6 to demand tighter proximity to the level.
• Optional: enable useHTFTrend to filter counter-trend setups.

Default settings used in this publication
• Initial capital: 100,000 (illustrative).
• Slippage: 1 tick; Commission: 0% (you can raise commission if you prefer—spread is partly modeled by slippage).
• Sizing: Risk % of equity via inputs; riskPercent = 1.0%; FX uses micro-lot floors by default.
• Quality: Off by default (Soft/Strict available).
• HTF trend gate: Off by default.

Backtesting notes
For a meaningful sample size, test on liquid symbols/timeframes that yield 100+ trades (e.g., majors on 5–15m over 1–2 years). Backtests are modelled and broker costs/spread vary—validate on your feed and forward-test.

How to read the chart
Shaded bands are supply (above) and demand (below). Brighter bands are the nearest K per side (visual aid). BUY/SELL labels mark entries; colored dots show entry/SL/TP levels. You can hide zones or unconfirmed zones for a cleaner view.

Disclaimer
This is educational material, not financial advice. Trading involves risk. Always test and size responsibly.