One of the most common trading strategies is to Buy when price goes above resistance level, and Short when price goes below support level. There can be different versions of Buy and Sell logic depending upon number of support/resistance levels as well as trend.
Identifying the suppport/resistance level is key and can be done by either:
1. Marking the levels discretionary and input them from Chart parameters window
2. Using Highest High / Lowest Low of previous n bars
3. Using Standard Deviation bands
4. Using ATR Bands
5. Using Moving Average Bands
The following assignment from APSAT makes you learn how to code such strategies. When you submit the assignment questions, we will email you the solutions 🙂
Assignment-5
Assume the following set of input parameters which can be set through chart: