Chandelier
ATR trailing exits from recent highs and lows. Trails stops with the trend.
About
Chandelier Exit trails a stop a multiple of ATR below the recent high (long exit) and above the recent low (short exit). The stop moves with volatility as the trend develops.
A close through the long chandelier is an exit or flip short, depending on the mix. A close through the short chandelier is the opposite. In a quiet market the stop sits closer. In a wild market it gives more room.
Add Chandelier to a mix as the exit (or as a trailing invalidation), and keep a separate signal for entry. It is a stop method, not a standalone reason to open a trade.
Mixes using Chandelier
Chandelier Trend RideJPM1 day
Enter when close crosses above the Chandelier long exit, a trailing ATR stop used as a trend gate. Exit when close loses that line.
Chandelier Short RideGS1 day
Enter short when close crosses below the Chandelier short exit. Cover when close recaptures that line.
Small Cap Trend RideFROG1 day
Enter when close crosses above the Chandelier long exit. Exit when close loses that line.