Your idea: Test on XAUUSD Riding Waves — revised rulebook 1. Structural Candle…

Test on XAUUSD Riding Waves — revised rulebook 1. Structural Candle = wave ignition On the 1-minute chart, calculate: Body = abs(Close − Open) Upper wick = High − max(Open, Close) Lower wick = min(Open, Close) − Low If total wick > body, candle size = body. Otherwise candle size = full range. The average candle size is the average of the previous 15 candles. A Structural Candle occurs when: Candle size ≥ 2 × previous-15 average This remains the core definition of a wave impulse. 2. Use the first SC in each 15-minute wave window Keep your 15-minute segmentation only for identifying the first SC: 00–14, 15–29, 30–44, 45–59. The first qualifying SC becomes the structural reference. Later SCs in that same unit do not replace it. 3. Consecutive-SC confirmation If the candle immediately after the first SC is also an SC: use the first SC check only the next 2 candles for a 50% structural break. Otherwise: check the next 3 candles. For bullish SC, a break occurs if a subsequent low reaches the SC midpoint. For bearish SC, a break occurs if a subsequent high reaches the SC midpoint. A 50% break invalidates the wave. 4. New wave-quality requirement The SC must demonstrate actual directional displacement, not merely large volatility. For a bullish SC: SC close must be above the previous candle's high SC close must be in the upper 40% of its range For a bearish SC: SC close must be below the previous candle's low SC close must be in the lower 40% of its range This is the key improvement. Conceptually: Expansion + displacement + shallow retracement = tradable wave. 5. Wave continuation filter Once a wave survives confirmation, it becomes a BUY or SELL signal. The current signal is tradable only when it agrees with at least one of the previous two confirmed wave signals. So: BUY → SELL → BUY → BUY qualifies SELL → BUY → SELL → SELL qualifies The empty time between signals doesn't matter. 6. Trade management Entry: Next candle open after confirmation. Initial stop: $3 Target: $10 Trailing rule: When price reaches +$7, immediately activate a $5 trailing stop. There is no separate $2 trailing stage and no breakeven rule. For a long: highest price − $5 For a short: lowest price + $5 The stop only moves in the direction of the trade. 7. Exit Exit when: $10 target is reached initial/trailing SL is reached an opposite confirmed Riding Waves signal appears No post-entry structural-break exit. When SL and TP are both touched in the same 1-minute candle, assume SL first.