Linda Bradford Raschke & Laurence Connors

Linda Bradford Raschke & Laurence Connors

Holy Grail (ADX + 20 EMA pullback)

NOT RECOMMENDED 1H · 4H · 1D Channel

Win rate

34.1%

Trades

41

Profit factor

0.93

loss > profit

Return

-1.8%

under hold +7496.1%

Drawdown

7.9%

Account curve

BNBUSDT · 1H2018-09-212026-09-19 · 8.0 years

StrategyBuy & hold

Wins and losses

34%win rate
  • Wins14
  • Losses27
Drawdown8%
Hold drawdown68%
Time in market3%

How it trades

  1. 1

    Timeframe

    1H · 4H · 1D

  2. 2

    Setup / filter

    ADX(14) > 30 AND ADX(14) is higher than one candle ago AND +DI above −DI (14)

  3. 3

    Entry

    candle low touches or crosses below EMA(20) → buy stop at the signal candle's high, valid 3 candles (filled at the level, or at the open on a gap)

  4. 4

    Stop

    lowest low of the 5 completed candles before the signal candle

  5. 5

    Target / exit

    Target: 2R (R = entry-to-stop distance)

  6. 6

    Risk

    1% of equity risked to the stop

Evidence

4
Rules executed
2
Published sources
5
Known limits

What this test cannot reproduce

Short trades (a pullback to the 20 EMA in a downtrend) cannot be executed on Spot, so only the long side is tested.

"First" pullback is mechanical here: any candle whose low touches or crosses the 20 EMA while ADX(14) > 30 and rising qualifies, so more setups are taken than a discretionary trader would take.

"Previous swing high" as the target is approximated by a fixed 2R target, because the published rule depends on the trader's own reading of the chart.

The buy stop is valid for 3 candles; the published rule says "a few bars".

The setup was published for stocks and futures; this test runs on the crypto pair you named.