Funding Spike Fade, Trailing Exit
A built-in strategy on Central Command, tested on BloFin history. Held up 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 and the candle closed below the previous candle's low. Go long when funding is more than 3 standard deviations below its average and the candle closed above the previous high.
Managing the trade. Once 1R in profit, a 2 x ATR(14) trailing stop follows the trade. Close after 42 candles (7 days) at most; wait 6 candles before the next trade on the same coin.
Stop and target. Stop 2 x ATR(14) from the entry. No fixed target: the trailing stop takes the profit.
Exact rules
Funding is BloFin's last settled rate, in percent per 8 hours. When funding has not moved at all over the window there is no z-score and no trade.
[EXACT RULES]
timeframe: 4H
long entry: ZSCORE(42, FUNDING_PCT) < -3
long entry: close > high[1]
short entry: ZSCORE(42, FUNDING_PCT) > 3
short entry: close < low[1]
stop: 2 ATR(14)
take profit: none
trailing stop: 2 ATR(14) after 1R
max bars: 42
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 | 46 | +14.7% | 1.82 | 4.4% | 60.9% |
| Judged on | 34 | +8.8% | 1.62 | 6.4% | 61.8% |
| Whole period | 80 | +24.8% | 1.72 | 6.4% | 61.3% |
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, on paper first, or see the rest of the strategy library.