LH WAVE SYSTEM - Automated Trading

Explore the LH WAVE SYSTEM, an automated trading strategy for futures including MNQ and ES. Learn how this system manages trades and adapts to market conditions

Published · Updated · Methodology: Mixed

Part of: Algorithmic & Automated Trading

  • Methodology: Mixed
  • Content type: both
  • Markets: MNQ (Micro Nasdaq futures), ES (E-mini S&P 500 futures), NQ (Nasdaq futures), YM (Dow futures), RTY (Russell 2000 futures), Commodities, Currencies

Indicators used

  • LH WAVE SYSTEM
  • Cloud
  • Volatility & Market Regime (VIX)
  • Displacement & Acceleration (AVG DISP + SPEED indicator)

Source video

Decoded from: 🔴 How I Trade MNQ Futures Live Everyday - LH WAVE SYSTEM - 100% Automated Trading by Lighthouse Trading — watch the original

Key timestamps:

  • 0:19 - Introduction to session modes
  • 0:44 - Automated mode parameters
  • 1:25 - Semi-automatic mode description
  • 2:09 - Grid on option for semi-automatic mode
  • 2:34 - Cloud for trend following
  • 3:08 - Switching from grid on to grid off

Strategy overview

Automated trading replaces the moment-to-moment decision of when to enter with a rule set that executes on its own — but "automated" rarely means the operator has nothing left to choose. This entry comes from Lighthouse Trading's live daily MNQ futures session run on the channel's LH WAVE SYSTEM, and the walkthrough opens not on setups but on modes: a fully automated mode with its own parameters, a semi-automatic mode, and a grid on / grid off switch flipped during the session. The title announces "100% Automated Trading"; the first three minutes describe a console.

That gap is the useful part, because it moves the unit of evaluation. A single mode can in principle be measured — same rules, same execution, over a long enough sample. A trader switching between modes mid-session is running a policy over strategies, and the switching rule is usually the unwritten one: it lives in the operator's read of the day rather than in the software. Grid-style entries sharpen the point, since they change the shape of exposure rather than its timing — scaling into a move instead of committing once — so the same signals with the grid on and with it off can leave very different risk profiles behind. None of that difference is visible in the entry logic itself.

The system is proprietary: LH WAVE SYSTEM is characterised in the source only as using momentum and market-structure algorithms, sitting alongside a cloud used for trend following and volatility-regime context. No entry, exit or parameter rules were extracted for this entry, and nothing here reconstructs them. What the video offers is the operator's view — which mode was running, when the grid was toggled, and how the session unfolded around those choices — which is a record of one day, not evidence about the system across many.

Topics

lh wave system · automated trading strategy · futures trading strategy · mnq trading strategy · es futures strategy · algorithmic trading · momentum strategy · market structure trading · tradingview strategy · pine script · trading strategy · scalping strategy · day trading strategy

Frequently asked questions

What does "100% automated" mean if a system also has a semi-automatic mode?

It usually means the execution is automated, not the configuration. When a system exposes an automated mode, a semi-automatic mode and switches like grid on/off, a human still decides which mode runs and when to change it — so the automation covers order placement while the mode choice stays discretionary.

What does turning grid mode on change about a trade?

Grid-style entries add positions at intervals instead of committing to a single fill, which changes the exposure profile rather than the signal. The same entry logic can produce a very different drawdown and average-position picture depending on whether that option is enabled.

Can you evaluate an automated system from a live daily trading stream?

Only partially. A live session shows the system operating in real conditions and without hindsight, which is valuable, but each stream is a sample of one day. Assessing an edge requires many sessions under consistent settings — and consistent settings are exactly what a mid-session mode switch breaks.

Are the rules of the LH WAVE SYSTEM available here?

No. This is a proprietary system and no entry, exit or parameter rules were extracted from the source video, so this page covers the concept and the video's framing rather than a rule set. Strategy Decoder catalogs strategy videos and extracts structure where the source makes it explicit; where it doesn't, the entry says so.

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.

Strategy Decoder catalogs 2,229 decoded strategies. Each one is extracted with confidence scoring, cross-linked to the indicators it uses, and kept up to date as new videos are processed daily. Load this page with JavaScript enabled to use the interactive tools, or start from the strategy explorer to filter by methodology, market and timeframe.

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