CBR Reversal Strategy

Discover the CBR Reversal Strategy for day trading Gold on 1-minute, hourly, and 5-hour timeframes. Enter reversals at the halfway point of the hour on overexte

Published · Updated · Methodology: Price Action

Part of: Algorithmic & Automated Trading

  • Methodology: Price Action
  • Content type: strategy
  • Timeframes: 1 minute, Hourly (for candle open/close), 5 hours (for middle time frame range identification)
  • Markets: Gold

Source video

Decoded from: 81% Winrate Day Trading Backtest Session by tomtrades — watch the original

Key timestamps:

  • 0:19 - Strategy overview and win rate
  • 0:55 - Identifying middle time frame range
  • 1:50 - Entry timing and conditions (overextension, halfway point of hour)
  • 2:40 - First trade example and target
  • 5:30 - Type three shift explanation
  • 6:30 - Second trade example (type three shift)
  • 8:20 - Loss condition explained (range change)
  • 10:40 - Third trade example (counter trend, type three shift)
  • 13:00 - Low time frame candle behavior for entries
  • 16:30 - Final trade example (high time frame shift)
  • 18:00 - Backtest analytics summary

Strategy overview

Reversal trading in price action means fading a move that has run too far into a level where the prior direction stops being defended — the CBR entry sits in that family, but its distinguishing feature is how much of the setup is described in units of time rather than units of price. Three horizons are in play at once: a range identified on a five-hour aggregation, the open and close of the hourly candle as reference points, and a one-minute chart for execution. Five hours is not a standard chart interval on most platforms, and calling it the *middle* time frame is itself a statement — it implies a deliberate three-tier hierarchy rather than the usual higher-timeframe-context-plus-lower-timeframe-trigger split.

The timing detail is the part worth sitting with. The source session pairs the notion of overextension with the halfway point of the hour, which makes the clock a condition and not merely a viewing resolution: the same price behaviour can qualify or fail to qualify depending on where the hour happens to be when it prints. Conditions of that kind are unusually sensitive to bookkeeping — which session's clock, which candle boundary, what happens on a bar that straddles the mark — and they are also the conditions most likely to be applied loosely in live trading, because a chart does not announce that the hour is half over. The video's vocabulary points the same way: a "type three shift" named on screen implies a taxonomy whose earlier types are carried in the presenter's head as much as in the definition.

The source is a recorded backtest session — tomtrades stepping through historical trades — rather than a rules lecture, and the 81% figure in its title "81% Winrate Day Trading Backtest Session" describes that session's own tally on that sample. A hit rate on its own does not settle whether an approach makes money: expectancy depends jointly on how often you win and on the size of wins against losses, and neither the sample size nor the period is a property of the method. No structured rule set was extracted for this entry, so what this page offers is the concept and the framing of the session it came from — for the actual sequencing, the source video remains the reference.

Topics

cbr reversal strategy · price action · gold trading strategy · day trading strategy · reversal trading · 1 minute strategy · hourly strategy · tradingview strategy · pine script · trading strategy · gold price action strategy · range trading strategy

Frequently asked questions

What is a reversal strategy in price action trading?

A reversal strategy looks for points where a directional move has become overextended and the side driving it stops defending its position, then trades against that prior direction. Price action versions do this by reading candles, ranges and structure rather than by waiting on an indicator signal.

What timeframes does the CBR Reversal Strategy use?

Three, in a layered arrangement: a five-hour aggregation used to identify the range that provides context, hourly candle opens and closes as reference points, and a one-minute chart for execution. The five-hour tier is described as the middle time frame, which signals an intentional three-level hierarchy.

Does the 81% win rate in the video title mean the strategy is profitable?

Not by itself. That figure comes from the presenter's own backtest session and describes the trades in that particular sample. Profitability depends on the win rate together with the average size of winners against losers, plus the sample size and the period tested — a high hit rate paired with small wins and large losses can still lose money.

Why does the entry depend on the halfway point of the hour?

Because the session treats the hour's own progress as part of the condition, not just as the chart's resolution. That makes the setup time-gated: identical price behaviour may or may not qualify depending on when in the hourly candle it occurs, which is a detail worth pinning down precisely before testing anything.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

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