# Volatility Wake-Up, 8H

A built-in strategy on Central Command, tested on BloFin history. **Held up in testing.** 8H candles, long and short, category Volatility.

## Rules

**Entry.** On a closed 8H candle, when the 5-candle average true range crosses above 1.25 x the 50-candle average true range and was below 0.7 x it at some point in the last 6 candles (2 days): go long if the candle closed green and above SMA(20); go short if it closed red and below SMA(20).

**Managing the trade.** Once 1R in profit, a 3 x ATR(14) trailing stop follows the trade. Close after 20 candles (about a week) at most.

**Stop and target.** Stop 2 x ATR(14) on the 8H chart from the entry. No fixed target.

## Exact rules

```text

8H candles close at 00:00, 08:00 and 16:00 UTC, so a signal is checked three times a day. Volatility here is the simple average of the true range, so an agent reading a few weeks of candles measures exactly what the backtest did.

[EXACT RULES]
timeframe: 8H
long entry: CROSS_UP(AVG(TR, 5), 1.25 * AVG(TR, 50))
long entry: ANY(AVG(TR, 5) < 0.7 * AVG(TR, 50), 6)
long entry: close > SMA(20)
long entry: close > open
short entry: CROSS_UP(AVG(TR, 5), 1.25 * AVG(TR, 50))
short entry: ANY(AVG(TR, 5) < 0.7 * AVG(TR, 50), 6)
short entry: close < SMA(20)
short entry: close < open
stop: 2 ATR(14)
take profit: none
trailing stop: 3 ATR(14) after 1R
max bars: 20

```

## 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 | 82 | +22.1% | 1.56 | 9.3% | 46.3% |
| Judged on | 42 | +20.3% | 2.00 | 8.0% | 47.6% |
| Whole period | 124 | +47.0% | 1.73 | 10.9% | 46.8% |

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).