Public trading strategy
Global tensions and a fat defense budget are boosting military stocks — get in o
Created
Thesis
A fresh government defense budget proposal is directly injecting money into military contractors, causing an immediate surge in their stock prices. This is happening against the backdrop of actual geopolitical conflicts in the Middle East, making the need for defense spending very real and likely to continue. When rising political tension is met with actual government funding, it acts as a massive catalyst for these companies. Buying the companies that build drones and defense systems captures this momentum.
Strategy approach
Build a breakout momentum strategy for defense stocks (KTOS, NOC, LHX) on the 4-hour (H4) timeframe. Enter a long position when the price breaks above the highest high of the last 10 periods. Place a stop loss at 1.5x the 14-period Average True Range (ATR) below the entry price. Target a 1:2 risk-to-reward ratio.
Markets and timeframes
Entry and exit at a glance
These are the named rules in the shared configuration. Review the full conditions below before using a strategy.
- Entry: DONCHIAN/ADX/ATR Signal Long (KTOS@4h) (3 conditions)
- Entry: DONCHIAN/ADX/ATR Signal Long (NOC@4h) (3 conditions)
- Entry: DONCHIAN/ADX/ATR Signal Long (LHX@4h) (3 conditions)
- Exit: Take Profit at 6.0% (1 condition)
- Exit: Take Profit at 6.0% (1 condition)
- Exit: Take Profit at 6.0% (1 condition)
- Exit: Stop Loss at 3.0% (1 condition)
- Exit: Stop Loss at 3.0% (1 condition)
- Exit: Stop Loss at 3.0% (1 condition)
Shared strategy rules
Rule configuration
{
"data_dependencies": [
{
"symbol": "KTOS",
"timeframe": "4h"
},
{
"symbol": "NOC",
"timeframe": "4h"
},
{
"symbol": "LHX",
"timeframe": "4h"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_ktos",
"name": "DONCHIAN/ADX/ATR Signal Long (KTOS@4h)",
"priority": 1,
"trade_symbol": "KTOS"
},
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_noc",
"name": "DONCHIAN/ADX/ATR Signal Long (NOC@4h)",
"priority": 2,
"trade_symbol": "NOC"
},
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_lhx",
"name": "DONCHIAN/ADX/ATR Signal Long (LHX@4h)",
"priority": 3,
"trade_symbol": "LHX"
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_ktos",
"name": "Take Profit at 6.0%",
"priority": 97,
"purpose": "take_profit",
"target_symbol": "KTOS"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_noc",
"name": "Take Profit at 6.0%",
"priority": 98,
"purpose": "take_profit",
"target_symbol": "NOC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_lhx",
"name": "Take Profit at 6.0%",
"priority": 99,
"purpose": "take_profit",
"target_symbol": "LHX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_ktos",
"name": "Stop Loss at 3.0%",
"priority": 100,
"purpose": "stop_loss",
"target_symbol": "KTOS"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_noc",
"name": "Stop Loss at 3.0%",
"priority": 101,
"purpose": "stop_loss",
"target_symbol": "NOC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_lhx",
"name": "Stop Loss at 3.0%",
"priority": 102,
"purpose": "stop_loss",
"target_symbol": "LHX"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2,
"support_stop_rank": 1,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "4h",
"version": 1
}Indicator configuration
{
"indicators": [
{
"name": "donchian",
"period": 10
},
{
"name": "atr",
"period": 14
},
{
"name": "adx",
"period": 14
},
{
"name": "donchian",
"period": 10
},
{
"name": "atr",
"period": 14
},
{
"name": "adx",
"period": 14
},
{
"name": "donchian",
"period": 10
},
{
"name": "atr",
"period": 14
},
{
"name": "adx",
"period": 14
}
]
}Parsed strategy
{
"data_dependencies": [
{
"symbol": "KTOS",
"timeframe": "4h"
},
{
"symbol": "NOC",
"timeframe": "4h"
},
{
"symbol": "LHX",
"timeframe": "4h"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "KTOS",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_ktos",
"name": "DONCHIAN/ADX/ATR Signal Long (KTOS@4h)",
"priority": 1,
"trade_symbol": "KTOS"
},
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "NOC",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_noc",
"name": "DONCHIAN/ADX/ATR Signal Long (NOC@4h)",
"priority": 2,
"trade_symbol": "NOC"
},
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
},
{
"left": {
"chart_ref": {
"symbol": "LHX",
"timeframe": "4h"
},
"indicator": {
"name": "atr",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 0.5
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_lhx",
"name": "DONCHIAN/ADX/ATR Signal Long (LHX@4h)",
"priority": 3,
"trade_symbol": "LHX"
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_ktos",
"name": "Take Profit at 6.0%",
"priority": 97,
"purpose": "take_profit",
"target_symbol": "KTOS"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_noc",
"name": "Take Profit at 6.0%",
"priority": 98,
"purpose": "take_profit",
"target_symbol": "NOC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 6
}
}
],
"enabled": true,
"id": "exit_1_lhx",
"name": "Take Profit at 6.0%",
"priority": 99,
"purpose": "take_profit",
"target_symbol": "LHX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_ktos",
"name": "Stop Loss at 3.0%",
"priority": 100,
"purpose": "stop_loss",
"target_symbol": "KTOS"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_noc",
"name": "Stop Loss at 3.0%",
"priority": 101,
"purpose": "stop_loss",
"target_symbol": "NOC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than",
"right": {
"type": "constant",
"value": -3
}
}
],
"enabled": true,
"id": "exit_2_lhx",
"name": "Stop Loss at 3.0%",
"priority": 102,
"purpose": "stop_loss",
"target_symbol": "LHX"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2,
"support_stop_rank": 1,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "4h",
"version": 1
}Strategy instructions
Trading agent generated from recommendation idea 'Global tensions and a fat defense budget are boosting military stocks — get in on Kratos and defense suppliers'. Thesis: A fresh government defense budget proposal is directly injecting money into military contractors, causing an immediate surge in their stock prices. This is happening against the backdrop of actual geopolitical conflicts in the Middle East, making the need for defense spending very real and likely to continue. When rising political tension is met with actual government funding, it acts as a massive catalyst for these companies. Buying the companies that build drones and defense systems captures this momentum.
Performance
No trade count, win rate, or realized P&L figures are provided in this public preview. The thesis and shared rules do not establish a performance record.
What this public preview can establish
- The thesis and strategy approach describe a market view. They do not show whether an entry or exit condition is currently met.
- Technical strategy fields are shared above. Inspect the actual conditions and check when they were evaluated before relying on them.
- No trade count, win rate, or P&L figure is published in this preview. It cannot establish a performance record.
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