đš Paradox Algo Automated Strategy (Main)
Deep Dive:
This is the backbone of our system. It encapsulates a set of rules derived from statistical analysis of market data. Think of it as a financial engine that interprets market signals based onmultiple layers of informationâtrend, volatility, momentum, and market structure.
Historical Foundations:
The development of automated trading engines draws from concepts like the Black-Scholes model for option pricing, mean reversion theories, and trend-following algorithms. These modelshave been refined over decades, leveraging massive datasets and computational power toidentify subtle patterns.
Mathematical Principles:
- Statistical Significance: Signals are validated through hypothesis testingâensuring they are not random artifacts.
- Trend Timeframe Analysis: Used to determine the strength and direction of trends.
- Volatility Modeling: Employs our DeepWave model or similar to adapt to changing market regimes.
- Pattern Recognition: Machine learning techniques are incorporated to detect complex patterns, such as regime shifts or liquidity accumulation.
Operational Mechanics:
- The system evaluates price action in real-time, comparing it against historical models.
- It assesses whether market conditions are favorable for a moveâconsidering volatility, trend strength, and liquidity.
- When conditions align, it issues a high-confidence signalâeither to enter, exit, or stay out.
Practical Application:
- Use the engine for automated trading, but always monitor and review signals.
- Run backtests across different assets and timeframes to understand its behavior.
- Adjust parameters cautiouslyâmarkets evolve, and models need recalibration.
Limitations & Considerations:
- No model can predict 100% of market moves; always manage risk.
- Use in conjunction with manual analysis for confirmation.
- Be aware of market gaps, news events, or black-swan scenarios that models might not capture.
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Strategy Properties Setup
Before configuring any input settings, you must first adjust your Strategy Properties to match your trading conditions.
Required Properties:
- Initial Capital: Set this to match your actual account size or prop firm starting capital
- Order Size: Set the number of contracts/shares/units you'll trade per position
- Commission: Enter your broker's commission per contract/trade
Example for MNQ on Tradovate:
- Initial Capital: $150,000
- Order Size: 10 contracts
- Commission: $0.74 per side
Important: Accurate commission settings are critical for realistic backtest results. Using incorrect values will give you false performance metrics.
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Data Mode
Category: Data Mode
Type: Dropdown Menu
Options: Real-Time Data | Historical Data
Real-Time Data
Uses live, unconfirmed bar data for maximum responsiveness. The algo adapts to market conditions as they develop in real-time.
Advantages:
- Highly responsive to market changes
- Faster signal detection
- Optimal for scalping and day trading strategies
- Best overall performance
Trade-offs:
- May experience occasional repainting due to live market adaptation
- Signals can shift as bars develop
Best For: Traders who prioritize speed and responsiveness over absolute signal stability. Recommended for active scalping and day trading.
Historical Data
Uses only confirmed, closed bar data. Every signal is based on completed candles only.
Advantages:
- Zero repainting
- Signals are final once generated
- More conservative approach
Trade-offs:
- Slower signal response
- May miss fast-moving opportunities
- Backtest results may differ significantly from Real-Time mode
Best For: Traders who require zero repainting, automated bot trading, or conservative signal confirmation.
Note: The same strategy configuration can produce different backtest results depending on which Data Mode you select. Always test both modes with your specific asset and timeframe.
Paradox Settings
Asset Class
Type: Dropdown Menu
Options: Crypto | Forex | Stocks | Futures
This setting configures the entire algo to optimize for your chosen asset class. Different models and logic conditions are enabled/disabled based on your selection.
How It Works:Each asset class has unique characteristics (volatility patterns, liquidity profiles, market structure). Selecting the correct asset class ensures the algo uses the most appropriate models for that market.
Selection Guide:
- Crypto: Bitcoin, Ethereum, altcoins (24/7 markets, high volatility)
- Forex: Currency pairs (FX majors, minors, exotics)
- Stocks: Individual equities, ETFs
- Futures: Index futures (ES, NQ, MNQ), commodities, bonds
Critical: Always match this setting to what you're actually trading. Incorrect selection will result in suboptimal performance.
Trading Style
Type: Dropdown Menu
Options: Scalping | Day Trading | Swing Trading
This setting fine-tunes the algo's behavior, timeframes, and sensitivity based on your trading approach.
How It Works:Each trading style requires different position holding times, risk parameters, and model sensitivities. The algo automatically adjusts internal parameters to match your selected style.
Selection Guide:
Scalping:
- Hold time: Seconds to minutes
- Target: Small, quick profits (0.1% - 0.5%)
- Best for: High-frequency traders, prop firm accounts, micro timeframes (1m-15m)
Day Trading:
- Hold time: Minutes to hours (close by EOD)
- Target: Intraday price movements (0.5% - 2%)
- Best for: Active traders, 15m-1H timeframes
Swing Trading:
- Hold time: Days to weeks
- Target: Multi-day trend movements (2% - 10%+)
- Best for: Position traders, 4H-Daily timeframes
Tip: Your Trading Style selection should align with your Take Profit distances and Stop Loss settings.
Prop Firm Settings
Enable Prop Firm Settings
Type: Boolean (On/Off)
Default: Off
When enabled, activates daily profit/loss limits to comply with prop firm trading rules.
How It Works:The algo monitors net P&L from the start of each trading day. When either the Daily Profit Limit or Daily Loss Limit is reached, the algo blocks all new entries for the remainder of that day. Existing positions can still be exited.
When to Use:
- Trading with a funded prop firm account
- Self-imposed daily risk management
- Preventing overtrading after reaching goals
Daily Profit Limit
Type: Float Input
Format: Dollar amount
Example: 4000 = Stop opening new trades after +$4,000 profit
Sets the maximum profit target per day. Once reached, no new entries are allowed until the next trading day.
Configuration Tips:
- Set this to 70-80% of your prop firm's actual daily limit (buffer for slippage)
- Consider your typical win rate and average trade size
- Don't set it too low or you'll cap earning potential
Daily Loss Limit
Type: Float Input
Format: Dollar amount (enter as positive number)
Example: 2500 = Stop opening new trades after -$2,500 loss
Sets the maximum loss allowed per day. Once reached, no new entries are allowed until the next trading day.
Configuration Tips:
- Set this to 70-80% of your prop firm's actual daily limit (buffer for drawdown)
- Should be proportional to your account size (typically 1-5%)
- Protects you from catastrophic daily losses
Important: These limits reset at the start of each new trading day based on your configured Time Zone.
Trend Timeframes
The algo requires directional confirmation before entering trades. Trend Timeframes determine which timeframes are analyzed to identify market direction.
You can configure up to 4 separate trend timeframes. Each timeframe can have different logic models enabled.
Trend Timeframe Selection
Type: Dropdown Menu (per timeframe)
Options: Chart | 1m | 5m | 15m | 30m | 1H | 4H | Daily | etc.
Default: Chart (uses your main chart timeframe)
How to Configure:
Primary Trend Timeframe:
- Your highest timeframe for trend identification
- Most important directional filter
- Recommended: 2-4x your main trading chart timeframe
Secondary Trend Timeframe:
- Confirms primary trend direction
- Recommended: 1-2x your main trading chart timeframe
Third & Fourth Timeframes:
- Optional additional confirmation layers
- Most traders leave these as "Chart" (disabled)
Example Configuration for 5m Chart Scalping:
- Primary: 40m
- Secondary: 15m
- Third: Chart (disabled)
- Fourth: Chart (disabled)
Enable TrendScore Logic
Type: Boolean (On/Off per timeframe)
Enables TrendScore model for the selected timeframe. TrendScore measures the STRENGTH and QUALITY of a trend using quantitative analysis.
When to Enable:
- On your highest/primary timeframe for maximum filtering
- When you want to measure trend conviction
- To avoid weak, choppy trends
When to Disable:
- On lower timeframes to avoid over-filtering
- When you want more trade signals
Enable SignalWave Logic
Type: Boolean (On/Off per timeframe)
Enables SignalWave model for the selected timeframe. SignalWave identifies the trend DIRECTION (bullish/bearish).
When to Enable:
- On ALL active trend timeframes for directional confirmation
- Essential for multi-timeframe alignment
When to Disable:
- Never disable on active trend timeframes (you need directional confirmation)
Best Practice Configuration:
Primary Trend Timeframe:
- Enable BOTH TrendScore + SignalWave
- This is your strongest filter
Secondary Trend Timeframe:
- Enable SignalWave ONLY
- Confirms direction without over-filtering
Lower Timeframes:
- Leave as "Chart" (disabled) to start
- Add more confirmation only if needed
Pro Tip: You can visually monitor what the algo is reading by opening a multi-timeframe layout with your configured trend timeframes and adding the TrendScore and SignalWave indicators to those charts.
TrendScore Settings
TrendScore Long Threshold
Type: Float Input
Range: 0.01 - 0.10
Recommended: 0.03 - 0.05
Default: 0.04
Minimum TrendScore value required to validate LONG entries.
TrendScore Short Threshold
Type: Float Input
Range: -0.01 to -0.10
Recommended: -0.03 to -0.05
Default: -0.04
Maximum TrendScore value required to validate SHORT entries (negative number).
How It Works:TrendScore outputs a value representing trend strength. These thresholds determine how strong a trend must be before the algo will enter trades.
Configuration Guide:
Lower Thresholds (0.03 / -0.03):
- More sensitive to trend strength
- More trade signals
- May include weaker trends
- Higher trade frequency, potentially lower quality
Middle Thresholds (0.04 / -0.04): â RECOMMENDED
- Balanced approach
- Filters out weak trends
- Quality over quantity
Higher Thresholds (0.05 / -0.05):
- Very strict trend filtering
- Fewer signals
- Only strongest trends
- May miss opportunities or enter late (at tops/bottoms)
Warning: Going outside the 0.03-0.05 range typically degrades performance. Lower = trash trades. Higher = missed opportunities.
EFO Settings
EFO Entry Timeframe
Type: Dropdown Menu
Default: Chart
Selects which timeframe to use for EFO (Enhanced Flow Optimization) entry condition analysis.
EFO Long Threshold / EFO Short Threshold
Type: Float Input
Determines sensitivity for EFO entry condition validation.
Usage:These settings only matter if you enable "Enable EFO Entry" in the Entry & Exit Settings section. EFO is an advanced entry condition for experienced users who want to experiment with optimization.
Recommendation: Leave these at default unless you specifically want to test EFO entry conditions. Most users won't need to adjust these.
Deepwave Settings
Deepwave is Paradox Algo's proprietary volatility measurement model. It determines when volatility is safe for entries and dangerous for exits.
Deepwave Entry Timeframe
Type: Dropdown Menu
Default: Chart
Selects which timeframe to measure volatility for entry validation.
Deepwave Exit Timeframe
Type: Dropdown Menu
Default: Chart
Selects which timeframe to measure volatility for high-volatility exit triggers.
Configuration Tip: Most traders use "Chart" (main timeframe) for both. Advanced users may use higher timeframes for smoother volatility readings.
Deepwave Entry Mode
Type: Dropdown Menu
Options: Low Volatility | Rising Volatility
Low Volatility Mode:Validates entries ONLY when volatility is below the "Deepwave Low Entry Threshold" value. Prevents entries during chaotic market conditions.
Best For:
- Scalping and day trading
- Futures markets (ES, NQ, MNQ)
- High-frequency strategies
- Avoiding whipsaw entries
Rising Volatility Mode:Validates entries when volatility is RISING from a low level (breakout hunting). Uses the "Deepwave Entry Rising From" threshold.
Best For:
- Breakout strategies
- Swing trading
- Crypto markets
- Volatility expansion plays
Recommendation: Use Low Volatility mode for scalping/day trading. Use Rising Volatility for swing/breakout strategies.
Deepwave Entry Rising From
Type: Float Input
Used with: Rising Volatility Mode
Sets the minimum volatility level that must be present before the algo looks for rising volatility breakouts.
How It Works:Higher values = stricter requirements = fewer breakout signals.
When to Adjust:Only relevant if using Rising Volatility mode. Most futures/scalp traders can ignore this setting.
Deepwave Low Entry Threshold
Type: Float Input
Used with: Low Volatility Mode
Recommended Range: 0.8 - 1.5
Maximum volatility reading allowed for entry validation in Low Volatility mode.
How It Works:The algo measures real-time volatility. If the reading is BELOW this threshold, entries are allowed. If ABOVE, entries are blocked.
Configuration Guide:
Lower Values (0.8 - 1.0):
- Very strict volatility filter
- Only enters in extremely calm conditions
- Fewer trades
- Safest entries
Middle Values (1.0 - 1.3): â RECOMMENDED
- Balanced approach
- Filters out high volatility without being too restrictive
Higher Values (1.4+):
- More lenient
- Allows entries in choppier conditions
- More trades, higher risk
Asset-Specific Recommendations:
- MNQ/NQ: 1.2
- ES/MES: 1.0
- Crypto: 1.5
- Forex: 1.0-1.2
Key Concept: You want to enter when volatility is LOW (controlled). This threshold defines what "low" means.
Deepwave High Exit Threshold
Type: Float Input
Used with: High Volatility Exit (enabled in Entry & Exit Settings)
Recommended Range: 1.5 - 2.5
Volatility level that triggers an immediate full position exit when "High Volatility Exit" is enabled.
How It Works:If volatility SPIKES above this threshold while you're in a position, the algo exits immediatelyâregardless of profit/loss status or TP/SL levels.
Why Higher Than Entry?You can tolerate more volatility when you're IN a trade (you have stop-loss protection) than when you're ENTERING a trade (full risk exposure).
Configuration Guide:
Lower Values (1.5 - 1.8):
- Hair trigger exit
- Exits at first sign of volatility spike
- Protects capital aggressively
- May exit too early
Middle Values (1.8 - 2.2): â RECOMMENDED
- Balanced protection
- Exits on legitimate volatility explosions
- Gives trades room to breathe
Higher Values (2.3+):
- Tolerates significant volatility
- Stays in during larger price swings
- Higher risk, but may capture larger moves
Asset-Specific Recommendations:
- MNQ/NQ: 2.0
- ES/MES: 1.8
- Crypto: 2.5
- Forex: 1.8-2.0
Trend Line Settings
Trend Line Length
Type: Float Input
Default: 50
Defines the period length for moving average calculations when using "Enable MA Entry" condition.
Usage:Only relevant if you enable "Enable MA Entry" in Entry & Exit Settings. This setting is for traders who want to use moving average trend confirmation as an entry filter.
Note: Most configurations don't use MA Entry conditions. This can be ignored unless you specifically want to experiment with MA-based filters.
Take Profit Settings
Take Profit Format
Type: Dropdown Menu
Options: % | Ticks | Points | Pips
CRITICAL SETTING
Determines how all Take Profit levels are measured.
Format Guide:
% (Percentage):
- Best for: Crypto, stocks
- Example: 2.5% = 2.5% price movement from entry
Ticks:
- Best for: Futures contracts (ES, NQ, MNQ, etc.)
- Example: 100 ticks on MNQ = 100 ticks ($5 per tick on MNQ)
Points:
- Best for: Stocks, some futures
- Example: 10 points = $10 price movement
Pips:
- Best for: Forex trading
- Example: 50 pips
CRITICAL: This format MUST match your "Stop Loss Format" and "Breakeven Offset Format." Mismatched formats will cause errors.
Enable TP1 / Enable TP2 / Enable TP3
Type: Boolean (On/Off for each level)
Activates each Take Profit level. You can use 1, 2, or all 3 levels.
Single TP Strategy:
- Enable TP3 only
- Set QTY % TP3 to 100%
- Simple all-or-nothing exit
Dual TP Strategy:
- Enable TP1 + TP3
- Scale out at two levels
Triple TP Strategy: â RECOMMENDED
- Enable all three
- Maximum profit scaling
- Locks gains incrementally
TP1 / TP2 / TP3 Value
Type: Float Input
Format: Based on "Take Profit Format" setting
Sets the distance from entry for each Take Profit level.
Configuration Strategy:
Scalping (MNQ Example):
- TP1: 89 ticks (quick scalp)
- TP2: 144 ticks (continuation)
- TP3: 233 ticks (runner)
Day Trading (ES Example):
- TP1: 10 points
- TP2: 18 points
- TP3: 30 points
Swing Trading (BTC Example):
Best Practice:
- TP1: Conservative target (high probability)
- TP2: Moderate target (trend continuation)
- TP3: Aggressive target (maximum move)
QTY % TP1 / QTY % TP2 / QTY % TP3
Type: Float Input (Percentage)
Total Must Equal: 100%
Determines what percentage of your position closes at each TP level.
Common Distributions:
30 / 40 / 30: â RECOMMENDED
- Balanced scaling
- Works with 10-contract positions perfectly
50 / 50 / 0:
- Two-level exit
- Simple and effective
25 / 25 / 50:
- Let winners run
- Keeps most of position for TP3
100 / 0 / 0:
- All-or-nothing at first target
- Simple but less optimal
Contract Size Compatibility
IMPORTANT: Your contract size must divide evenly with your TP percentages, or you'll get rounding issues.
Example Issue:
- Trading 8 contracts with 30% / 40% / 30%
- 30% of 8 = 2.4 contracts (rounds to 2)
- Results in imperfect scaling
Solution: Use contract sizes that divide evenly (3, 5, 10) with your chosen percentages, or adjust your percentages to match your contract size.
Stop Loss Settings
Stop Loss Format
Type: Dropdown Menu
Options: % | Ticks | Points | Pips
Determines how the Stop Loss distance is measured.
CRITICAL: This MUST match your "Take Profit Format." Mismatched formats will cause errors.
Stop Loss Value
Type: Float Input
Format: Based on "Stop Loss Format" setting
Sets the distance from entry price to your stop-loss level.
Configuration Best Practices:
Conservative Approach:
- Stop Loss = TP1 distance
- Tight risk control
- May get stopped out of winners
Balanced Approach: â RECOMMENDED
- Stop Loss = TP2 distance
- Gives trades room to develop
- Still protects capital
Risk-Tolerant Approach:
- Stop Loss = TP3 distance
- Maximum trade room
- 1:1 risk-reward on full position
- Use with dynamic stop movement features
Example (MNQ Scalping):
- TP3 = 233 ticks
- Stop Loss = 233 ticks
- 1:1 R:R, but you're scaling out at TP1/TP2
Golden Rule:Never set your Stop Loss wider than your TP3 level. You'll create negative risk-reward scenarios.
Move SL to Entry After TP1 Hits
Type: Boolean (On/Off)
When enabled, automatically moves your stop-loss to your entry price (breakeven) as soon as TP1 is reached.
How It Works:
- You enter a trade
- Price moves in your favor
- TP1 is hit â Partial profit taken
- Stop-loss instantly moves to breakeven
- Trade is now risk-free
Advantages:
- Eliminates risk immediately after first profit
- Protects against reversals
- Psychological relief (can't lose money)
- Great for scalping
Considerations:
- May get stopped out at breakeven on trades that would have recovered
- Requires TP1 to be realistic/achievable
Recommendation: ENABLE for scalping and day trading. This is a powerful risk management tool.
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Move SL to TP1 After TP2 Hits
Type: Boolean (On/Off)
When enabled, automatically moves your stop-loss to your TP1 level as soon as TP2 is reached.
How It Works:
- TP1 hits â Partial profit + Stop moved to breakeven
- TP2 hits â More profit + Stop moved to TP1
- Worst case = you still profit at TP1 level
- Trade is now a guaranteed winner
Advantages:
- Locks in guaranteed profit
- Eliminates chance of losing trade after TP2
- Maximum psychological security
- Free-rolls the rest of the position
Power Combo:When BOTH "Move SL to Entry" and "Move SL to TP1" are enabled:
- TP1 â Risk-free trade
- TP2 â Guaranteed profit
- You literally cannot lose after TP2 hits
Recommendation: ENABLE for most strategies. This transforms your risk profile dramatically.
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Breakeven Offset Format
Type: Dropdown Menu
Options: % | Ticks | Points | Pips
Determines how the breakeven offset is measured.
Must match: Take Profit Format and Stop Loss Format
Breakeven Offset Value
Type: Float Input
Format: Based on "Breakeven Offset Format"
Adds a buffer above your entry price when moving stop-loss to breakeven.
Purpose:Covers commission fees so you're not just breaking evenâyou're actually profiting enough to cover costs.
How to Calculate:
For Futures:
- Find your round-trip commission (entry + exit)
- Convert to ticks
- Add small buffer
Example (MNQ on Tradovate):
- Commission: $0.74 per side = $1.48 round trip
- MNQ tick value: $0.50
- Minimum offset: 3 ticks ($1.50)
- Recommended: 10 ticks (includes buffer for slippage)
For Other Assets:
- Calculate total fees + spread
- Convert to your TP format
- Add 20-30% buffer
Why This Matters: Without an offset, "breakeven" still results in a loss after fees. This ensures true breakeven or better.
Cooldown Period Settings
Enable Cooldown Period
Type: Boolean (On/Off)
When enabled, blocks new trade entries for a specified time period after exiting a position.
Purpose:
- Prevents revenge trading
- Avoids choppy re-entries
- Forces patience between trades
- Reduces overtrading
Cooldown Minutes
Type: Float Input
Unit: Minutes
Number of minutes to wait after exiting a trade before allowing new entries.
Configuration Guide:
Short Cooldown (5-15 minutes):
- High-frequency scalping
- Fast-moving markets
- Multiple opportunities per session
Medium Cooldown (20-45 minutes): â RECOMMENDED
- Standard day trading
- Prevents immediate re-entry
- Allows market to settle
Long Cooldown (60+ minutes):
- Swing trading
- Fewer trades per day
- Maximum selectivity
Example Configuration:
- Scalping MNQ: 30 minutes
- Day trading ES: 45 minutes
- Swing trading crypto: 120 minutes
Psychology Note: This is one of the most important risk management tools. It forces emotional discipline by preventing impulsive re-entries after exits.
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Entry & Exit Settings
Max Trades
Type: Float Input
Default: 5
Maximum number of trades allowed based on your "Limit Orders By" setting (Day / Session / Custom Session).
Configuration Strategy:
1 Trade:
- One-shot approach
- Highest selectivity
- Best for beginners
- Prop firm safe
2-3 Trades:
- Balanced approach
- Multiple opportunities
- Not overtrading
5+ Trades:
- Active trading
- Higher risk of overtrading
- Requires strong discipline
Prop Firm Consideration:Lower Max Trades = less risk of hitting daily loss limits
Recommendation: Start with 1-2 trades per session until you're consistently profitable.
Limit Orders By
Type: Dropdown Menu
Options: Day | Session | Custom Session
Determines how "Max Trades" is calculated.
Day:
- Counts trades from midnight to midnight
- Based on your configured Time Zone
- Simple 24-hour reset
Session:
- Counts trades within major market sessions
- Uses TradingView's built-in session definitions
- Examples: New York Session, London Session, etc.
Custom Session: â RECOMMENDED
- Counts trades within YOUR custom trading hours
- Configured in "Trading Time String" setting
- Maximum control and flexibility
Example:
- Max Trades: 1
- Limit Orders By: Custom Session
- Trading Time String: 0500-1100
- Result: Only 1 trade allowed between 5 AM - 11 AM
Enable MA Entry
Type: Boolean (On/Off)
Adds a moving average trend confirmation filter to entry conditions.
How It Works:
- LONG entries: Price must be above the MA
- SHORT entries: Price must be below the MA
- MA period set in "Trend Line Length" setting
When to Use:
- Additional trend confirmation
- Filtering counter-trend trades
- Slower, more selective entries
When to Disable:
- Already using strong trend filters
- Want more trade frequency
- Scalping (MA can lag)
Note: Most users don't need this if TrendScore and SignalWave are properly configured.
Enable EFO Entry
Type: Boolean (On/Off)
Activates Enhanced Flow Optimization entry condition using EFO thresholds configured in EFO Settings.
Usage:Advanced entry condition for experienced users. EFO analyzes order flow dynamics for entry timing optimization.
Recommendation: Leave DISABLED until you're familiar with the core algo behavior. Experimental feature.
Enable Volatility Entry
Type: Boolean (On/Off) â RECOMMENDED: ON
Requires Deepwave volatility reading to be below "Deepwave Low Entry Threshold" before allowing entries.
How It Works:
- Measures real-time volatility using Deepwave model
- Blocks entries when volatility exceeds threshold
- Prevents entries during chaotic price action
Why This Matters:Entering trades during high volatility = wider spreads, slippage, unpredictable price action, and failed setups.
When to Enable:
- Scalping and day trading (ALWAYS)
- Futures markets (ALWAYS)
- Risk-conscious trading
When to Disable:
- Breakout strategies that WANT volatility
- Swing trading with wide stops
- You know what you're doing
Bottom Line: This should be enabled 90% of the time. It's one of your best risk filters.
Enable HA Logic
Type: Boolean (On/Off)
Adds Heikin Ashi candle logic as an entry condition filter.
How It Works:Uses Heikin Ashi candle patterns (smoothed price representation) for trend confirmation.
When to Use:
- Additional trend smoothing
- Filtering noisy markets
- You specifically want HA confirmation
Considerations:
- Adds another filter = fewer trades
- Can lag price action
- Most users don't need this
Recommendation: Leave DISABLED unless you specifically understand and want HA filtering.
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Enable VWAP Entry
Type: Boolean (On/Off)
Requires price position relative to VWAP (Volume Weighted Average Price) to validate entries.
How It Works:
- LONG entries: Price must be above VWAP
- SHORT entries: Price must be below VWAP
When to Use:
- Day trading equities
- Futures trading (NQ, ES)
- Institutional price level awareness
When to Disable:
- Swing trading
- 24/7 markets (crypto)
- Small timeframes where VWAP less relevant
Asset-Specific:
- NQ/MNQ: Good filter â
- ES/MES: Good filter â
- Crypto: Less useful
- Forex: Less useful
Note: Works well for NQ/ES, but may over-filter on other assets. Test both ways.
Stop Loss Type
Type: Dropdown Menu
Options: Manual | Trend SL
Manual:Uses the fixed "Stop Loss Value" you configured in Stop Loss Settings.
Advantages:
- Predictable risk per trade
- Consistent R:R ratio
- Simple to backtest and understand
- RECOMMENDED for scalping and day trading
Trend SL:Places stop-loss at the level where trend direction changes (based on SignalWave).
Advantages:
- Dynamic stops based on market structure
- Can capture larger moves
- Automatically adjusts to volatility
Disadvantages:
- Unpredictable stop distance
- May result in very wide stops
- Can increase risk significantly
- Risky for scalping
Recommendation: Use "Manual" for scalping/day trading. Only use "Trend SL" for swing trading with large accounts.
High Volatility Exit
Type: Boolean (On/Off)
When enabled, exits entire position immediately if volatility spikes above "Deepwave High Exit Threshold."
How It Works:Monitors real-time volatility via Deepwave. If volatility explodes, exits the position regardless of current P&L or TP/SL status.
Why This Matters:Volatility spikes often precede major reversals or flash crashes. This exit protects you from catastrophic moves.
When to Enable: â RECOMMENDED: ON
- Scalping (ALWAYS)
- Day trading (ALWAYS)
- Risk-conscious trading
- Futures markets
When to Disable:
- Swing trading (positions should withstand volatility)
- Breakout strategies (volatility is expected)
- Very large stops that can handle spikes
Bottom Line: This is emergency risk management. Enable it.
Trailing Take Profit Settings
Enable Trailing Take Profit (TTP)
Type: Boolean (On/Off)
When enabled, after TP3 is reached, the algo activates a trailing stop instead of closing the entire position.
How It Works:
- TP1 hits â Close partial position
- TP2 hits â Close more partial position
- TP3 hits â Instead of closing, activate trail
- Trail follows price using "TTP Retracement" distance
- Exit when price retraces by that distance
Advantages:
- Captures extended moves
- Lets winners run
- Can significantly increase profit on strong trends
Disadvantages:
- Might give back TP3 profit
- Adds complexity
- Can lead to late exits
TTP Retracement Format
Type: Dropdown Menu
Options: % | Ticks | Points | Pips
Must match your Take Profit Format.
TTP Retracement Value
Type: Float Input
Distance price must retrace from peak before trailing stop exits.
Configuration Best Practice:Set this equal to the distance between TP2 and TP3.
Example (MNQ):
- TP2: 144 ticks
- TP3: 233 ticks
- Distance: 89 ticks
- TTP Retracement: 89 ticks
This allows the trade to retrace back to TP2 level before exiting.
Recommendation: Most traders should DISABLE trailing TP and just use the three static TP levels. Trailing adds complexity and often underperforms the simple scale-out approach.
Time Filter Settings
Time Zone
Type: String Input
Format: UTC offset (e.g., UTC-5, UTC+1)
Sets the timezone for all time-based filters and calculations.
Examples:
- New York (EST): UTC-5
- New York (EDT): UTC-4
- London: UTC+0
- Tokyo: UTC+9
- Sydney: UTC+10
Important:
- All session filters use this timezone
- Daily P&L limits reset based on this timezone
- Weekday filters use this timezone
Action Required: ALWAYS set this to YOUR local timezone or the timezone of the market you're trading.
Force Trades to Close?
Type: Dropdown Menu
Options: Don't Force Close | Force Close at Day | Force Close at Session | Force Close at Custom Closure Time String
Controls whether positions are automatically closed at specific time boundaries.
Don't Force Close:
- Positions remain open until TP/SL
- Can hold overnight/multi-day
- For swing trading
Force Close at Day:
- Closes all positions at midnight (your timezone)
- Simple day trading rule
Force Close at Session:
- Closes at major session end (NY, London, etc.)
- Useful for session traders
Force Close at Custom Closure Time String: â RECOMMENDED for Day Trading
- Closes at YOUR specified time
- Maximum control
- Prevents overnight holds
Example (MNQ Scalping):
- Trading Session: 5 AM - 11 AM
- Force Close: Custom Closure Time String
- Result: All positions closed by 11 AM automatically
Enable Weekdays Filter
Type: Boolean (On/Off)
When enabled, restricts trading to only the weekdays you select.
How It Works:Select checkboxes for Monday, Tuesday, Wednesday, Thursday, Friday. The algo only trades on checked days.
When to Use:
- Crypto trading (markets never close)
- Avoiding specific days (e.g., no Friday trading)
- Personal schedule restrictions
When NOT Needed:
- Futures trading (markets already close weekends)
- Stocks (markets already close weekends)
Note: Most futures/stock traders should leave this DISABLED since those markets don't trade weekends anyway.
Enable Session Filter
Type: Boolean (On/Off)
When enabled, restricts trading to major market sessions.
Available Sessions:
- New York (9:30 AM - 4 PM ET)
- London (3 AM - 11:30 AM ET)
- Tokyo (7 PM - 4 AM ET)
- Sydney (5 PM - 2 AM ET)
When to Use:
- Trading specific liquidity windows
- Forex trading (session-dependent)
- International indices (Nikkei, FTSE, DAX)
Example Use Cases:
- Only trade NQ during New York session
- Forex: Trade EUR/USD during London + NY overlap
- Nikkei futures: Only during Tokyo session
Enable Custom Filter
Type: Boolean (On/Off) â RECOMMENDED for Day Traders
When enabled, restricts trading to the custom time window(s) you define in "Trading Time String."
Why This Is Powerful:
- Trade only YOUR optimal hours
- Avoid low-liquidity periods
- Align with your schedule
- Maximum control
When to Use:
- Day trading and scalping (ALWAYS)
- Prop firm trading
- Part-time traders
- Optimizing for specific market behavior windows
Trading Time String
Type: String Input
Format: 24-hour format "HHMM-HHMM"
Example: "0500-1100" = 5 AM to 11 AM
Defines your custom trading session(s).
Single Session Example:
0500-1100
Trades only from 5 AM to 11 AM (your timezone).
Multiple Sessions Example:*
```
0200-0500,1000-1400
```
Trades from 2 AM to 5 AM AND 10 AM to 2 PM.
**Configuration Tips:**
**For MNQ/NQ:**
- **0500-1100** (5 AM - 11 AM CT) = New York open volatility
- **0830-1200** (8:30 AM - 12 PM CT) = Core morning session
**For ES:**
- **0830-1100** (8:30 AM - 11 AM CT) = Highest volume
**For Crypto:**
- Custom based on historical volatility patterns
- Often: **0800-1600** for daytime trading
For Forex:
- **0200-1200** (London + NY overlap)
> **Pro Tip**: Backtest different time windows to find when YOUR strategy performs best. Every algo has optimal hours.
---
### Force Close Hour (24h) / Force Close Minute
**Type**: Integer Input Â
**Format**: 24-hour time
Sets exact time to force close all positions when using "Force Close at Custom Closure Time String."
How It Works:
- **Force Close Hour**: 0-23 (24-hour format)
- **Force Close Minute**: 0-59
Example:
- Force Close Hour: 11
- Force Close Minute: 0
- Result: All positions closed at 11:00 AM
**Important Notes:**
- Uses your configured Time Zone
- Closes at market price (market order)
- Overrides TP/SL levels
> **Note**: If you're using "Enable Custom Filter" with "Trading Time String," the algo will automatically close positions at the end of your custom session. These manual close time settings provide additional control if needed.
---
## Quick Start Configuration Templates
### MNQ Scalping Template
```
DATA MODE: Real-Time Data
ASSET CLASS: Futures
TRADING STYLE: Scalping
PROP FIRM:
- Enable: ON
- Daily Profit: $1,000
- Daily Loss: $1,000
TREND TIMEFRAMES:
- Primary: 40m (TrendScore + SignalWave)
- Secondary: 15m (SignalWave only)
TRENDSCORE: 0.04 / -0.04
DEEPWAVE:
- Entry Mode: Low Volatility
- Entry Threshold: 1.2
- Exit Threshold: 2.0
TAKE PROFIT (Ticks):
- Format: Ticks
- TP1: 89 (30%)
- TP2: 144 (40%)
- TP3: 233 (30%)
STOP LOSS (Ticks):
- Format: Ticks
- Value: 233
- Move to Entry after TP1: ON
- Move to TP1 after TP2: ON
- Breakeven Offset: 10 ticks
COOLDOWN: 30 minutes
ENTRY CONDITIONS:
- Enable Volatility Entry: ON
- Stop Loss Type: Manual
- High Volatility Exit: ON
MAX TRADES: 1
LIMIT BY: Custom Session
TIME FILTER:
- Time Zone: UTC-5
- Enable Custom Filter: ON
- Trading Time String: 0500-1100
- Force Close: Custom Closure Time String
```
---
### ES Day Trading Template
```
DATA MODE: Real-Time Data
ASSET CLASS: Futures
TRADING STYLE: Day Trading
TREND TIMEFRAMES:
- Primary: 1H (TrendScore + SignalWave)
- Secondary: 30m (SignalWave only)
TRENDSCORE: 0.04 / -0.04
DEEPWAVE:
- Entry Threshold: 1.0
- Exit Threshold: 1.8
TAKE PROFIT (Ticks):
- TP1: 40 (30%)
- TP2: 72 (40%)
- TP3: 120 (30%)
STOP LOSS (Ticks):
- Value: 120
- Move to Entry after TP1: ON
- Move to TP1 after TP2: ON
COOLDOWN: 45 minutes
MAX TRADES: 2
CUSTOM SESSION: 0830-1500
```
---
### Crypto Swing Trading Template
```
DATA MODE: Historical Data
ASSET CLASS: Crypto
TRADING STYLE: Swing Trading
TREND TIMEFRAMES:
- Primary: 4H (TrendScore + SignalWave)
- Secondary: 1H (SignalWave only)
TRENDSCORE: 0.04 / -0.04
TAKE PROFIT (%):
- TP1: 1.5% (40%)
- TP2: 3% (60%)
- TP3: Disabled
STOP LOSS (%):
- Value: 2%
- Stop Loss Type: Manual
COOLDOWN: Disabled
ENTRY CONDITIONS:
- Enable Volatility Entry: OFF
- Enable VWAP Entry: OFF
MAX TRADES: 5
LIMIT BY: Day
â
Troubleshooting Common Issues
"My backtest shows no trades"
Possible Causes:
- TrendScore thresholds too strict (>0.05)
- Too many entry conditions enabled
- Deepwave thresholds too restrictive
- Custom time session doesn't match chart timeframe data
- Max Trades set to 0
Solution:
- Disable all optional entry conditions
- Set TrendScore to 0.04/-0.04
- Increase Deepwave Entry Threshold
- Verify time zone settings
"Backtest results drastically different between Real-Time and Historical"
This is normal. The two modes use fundamentally different data:
- Real-Time = Live bar data (repaints during bar formation)
- Historical = Only closed bar data
Solution:
- Choose one mode and stick with it
- Real-Time for live trading
- Historical for bot trading or zero-repaint requirement
"Positions not closing at my TP levels"
Possible Causes:
- Take Profit Format doesn't match Stop Loss Format
- Contract size doesn't divide evenly with TP percentages
- TTP enabled (overriding TP3)
Solution:
- Verify all formats match (TP/SL/Breakeven)
- Use compatible contract sizes (3, 5, 10)
- Disable Trailing TP if not using
"Stop loss too wide / too tight"
Solution:
- Tight stops: Increase "Stop Loss Value" or use "Move SL to Entry after TP1"
- Wide stops: Decrease "Stop Loss Value" or change from "Trend SL" to "Manual"
"Too many/few trades"
Too Many Trades:
- Lower TrendScore thresholds (closer to 0.03)
- Enable more entry conditions (Volatility, VWAP, EFO)
- Increase Deepwave Entry Threshold (stricter)
- Decrease Max Trades
- Enable Cooldown Period
Too Few Trades:
- Raise TrendScore thresholds (closer to 0.05)
- Disable optional entry conditions
- Decrease Deepwave Entry Threshold (more lenient)
- Use lower trend timeframes
- Widen custom trading session
Best Practices Summary
- Always start with a proven template (like MNQ config above), then tweak
- Match all formats (TP Format = SL Format = Breakeven Format)
- Use compatible contract sizes with TP percentages
- Enable "Move SL to Entry after TP1" for risk-free trades
- Enable "Enable Volatility Entry" for cleaner entries
- Use Custom Session filtering for optimal trading hours
- Set realistic Daily Loss Limits if using prop firms
- Start with Max Trades = 1 until consistently profitable
- Enable Cooldown Period to prevent overtrading
- Backtest extensively before live trading
Support & Resources
Need Help?
- Join our Discord community
- Check video tutorials library
- Submit support tickets through dashboard
Experimentation:The beauty of Paradox Algo is its configurability. These docs provide foundations, but YOUR best settings come from testing on YOUR assets, YOUR timeframes, YOUR risk tolerance.
Start with templates. Test. Tweak. Optimize. Dominate.
Welcome to Paradox Algo v6.0. đ
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đš Quantum Edge Automated Strategy
In-Depth Functionality:
This strategy focuses on futures markets, especially those using Renko bricksâa charting method that filters out minor price noise to highlight significant moves. It is optimized for capturing big, institutional-style entries.
Mathematical Underpinning:
- Renko Chart Logic: Based on fixed or ATR-based brick sizes, which adapt to market volatility.
- Precision Entry Algorithms: Use pattern recognition and flow analysis to pinpoint optimal entry points.
- Adaptive Stop-Loss / Take-Profit: Based on volatility and recent market structure; avoids static targets that become irrelevant in changing regimes.
Practical Scenarios:
- During trending markets, Quantum Edge can identify high-probability entries with tight stops.
- In choppy markets, it reduces trade frequency, avoiding false signals.
- When volatility spikes, it dynamically adjusts position sizes and targets.
Advanced Tips:
- Combine with TrendScore to ensure trades align with the broader trend.
- Use session filters to avoid false signals during low-liquidity periods.
- Regularly review the modelâs parameters as market conditions evolve.
Historical Fact:
Futures markets, especially commodities and indices, are heavily influenced by liquidity andmacroeconomic factors. Quant models that incorporate liquidity footprints and volatility regimescan outperform traditional trend-following or breakout systems.