ThrustBreakoutAlgo

THRUST MOMENTUM BREAKOUT

Quick Facts:

• Category: Momentum / Breakout
• Markets: Trending markets
• Timeframes: 5min, 15min, 1H

Overview

The Thrust Breakout Algorithm identifies and trades aggressive momentum thrusts —sudden, powerful price movements that break through resistance or support with conviction. Unlike gradual breakouts, thrusts represent urgent buying or selling pressure that often leads to continuation.

The algorithm measures the velocity and magnitude of price movement to identify genuine thrusts versus normal volatility.

How It Works

THRUST DETECTION A thrust is identified when:

• Price moves > X ATR in Y bars (velocity check)
  • Movement is predominantly in one direction
  • Body-to-wick ratio confirms conviction

Example: Price moves 2 ATR in 3 bars = strong thrust

BREAKOUT CONFIRMATION The thrust must break significant levels:

• Recent swing high/low
  • Moving average cluster
  • Prior consolidation range

MOMENTUM VALIDATION Additional thrust quality checks:

• Volume acceleration during thrust
  • RSI thrust (momentum thrust confirms price thrust)
  • Close in direction of thrust (bodies, not wicks)

ENTRY TIMING Two modes available:

• Immediate: Enter on thrust confirmation
  • Pullback: Wait for minor retracement after thrust

Key Parameters

THRUST DETECTION:

• thrustATRMult (2.0): Minimum move as ATR ratio
  • thrustBars (3): Maximum bars for thrust completion
  • minBodyPercent (60): Minimum body % of thrust bars

BREAKOUT:

• breakoutLookback (20): Period for level detection
  • breakoutBuffer (0.1): Buffer above/below levels

ENTRY:

• entryMode ("Immediate"): "Immediate" or "Pullback"
  • pullbackATR (0.3): Pullback depth for reentry

Best Use Cases

✅ BREAKOUT TRADING after consolidation ✅ NEWS-DRIVEN MOVES with momentum ✅ TREND INITIATION at turning points ✅ MOMENTUM CONTINUATION in strong trends