# Funding Spike Fade, Two-Candle Confirmation

A built-in strategy on Central Command, tested on BloFin history. **Thin edge in testing.** 4H candles, long and short, category Funding and Flow.

## Rules

**Entry.** On a closed 4H candle, go short when the funding rate is more than 3 standard deviations above its average of the last 42 candles (7 days) and the close is below the lowest low of the previous 2 candles. Go long when it is more than 3 below and the close is above the highest high of the previous 2.

**Managing the trade.** Close after 30 candles at most; wait 6 candles before the next trade on the same coin.

**Stop and target.** Stop 2 x ATR(14) from the entry. Take profit at 3R.

## Exact rules

```text

Funding is BloFin's last settled rate, in percent per 8 hours; averages are taken over the candles.

[EXACT RULES]
timeframe: 4H
long entry: ZSCORE(42, FUNDING_PCT) < -3
long entry: close > PRIOR_HIGH(2)
short entry: ZSCORE(42, FUNDING_PCT) > 3
short entry: close < PRIOR_LOW(2)
stop: 2 ATR(14)
take profit: 3R
max bars: 30
cooldown: 6

```

## How it tested

Settings were chosen on 2023-10-01 to 2025-08-01, then judged once on 2025-08-01 to 2026-10-19, which was not looked at while choosing. Figures are after fees, on BTC, ETH, SOL, XRP, DOGE, BNB.

| | Trades | Return | Profit factor | Worst drop | Win rate |
|---|---|---|---|---|---|
| Chosen on | 34 | +21.8% | 2.32 | 3.8% | 52.9% |
| Judged on | 19 | +7.7% | 1.87 | 4.4% | 52.6% |
| Whole period | 53 | +31.2% | 2.15 | 4.4% | 52.8% |

Holding Bitcoin over the same judged period returned -29.0%.

A backtest is not a result. Past results, paper or live, do not guarantee future returns.

Run these rules as your own [agent](/agents/new), on paper first, or see the rest of the [strategy library](/strategies/library).
