How It Trades
- Read each finished candle's body: it is green when the close is above the open, red when the close is below it.
- Buy on the next bar after a green candle. The candle has to close before its colour is known, so the entry is always one bar behind the signal: there is no way to act on the green bar itself.
- Sell on the next bar after the first red candle that follows. A doji, where close and open are equal, counts as neither and is skipped.
Example Strategy
Pine Script
Paste it into TradingView’s Pine Editor to run these rules on any chart.
//@version=6
// Green Candle Follow — sort.finance. Fills at the signal bar's close, 0.02% fee a side,
// whole account per trade, as the backtest. History and indicator warm-up
// differ from the site's, so expect close to the same trades, not identical.
strategy("Green Candle Follow", overlay=true,
initial_capital=100, default_qty_type=strategy.percent_of_equity,
default_qty_value=100, commission_type=strategy.commission.percent,
commission_value=0.02, process_orders_on_close=true, pyramiding=0)
// The bar the current position opened on, and the bar the last one closed on.
var int entryBar = na
var int exitBar = -1
// ── Signals ──────────────────────────────────────────────────────────────
// The candle is known once it has closed, so the trade is taken on
// the bar after it.
enterNow = close[1] > open[1]
exitNow = close[1] < open[1]
// ── Orders ───────────────────────────────────────────────────────────────
// Open on the first bar the entry holds while flat; close on the first
// later bar the exit holds; never reopen on the bar a position closed.
inTrade = strategy.position_size != 0
if inTrade and bar_index > entryBar and exitNow
strategy.close("Long")
exitBar := bar_index
else if not inTrade and bar_index > exitBar and enterNow
strategy.entry("Long", strategy.long)
entryBar := bar_index