Donchian Breakout for XAGUSD (Silver)

Buy the highest high of the last N bars — the original turtle-trader strategy.

Why Donchian Breakout Works on XAGUSD

Donchian breakouts buy when price closes above the N-bar high. It captures regime changes — the moment a market wakes up from a range. Fails in chop (every false breakout is a small loss) but the long tail of trending wins more than compensates. Most profitable on volatile assets like XAUUSD and crypto.

Silver (XAGUSD) is more volatile than gold with sharper retracements. Mean-reversion and breakout strategies tend to outperform trend-following on lower timeframes.

Commodities like gold and silver have well-defined fundamental drivers — central bank policy, real yields, USD strength. Combined with the technical setup below, this gives the strategy two independent edges.

Pine Script Source

Copy this into PineForge — backtest on XAGUSD or any supported symbol, then deploy as a live bot.

//@version=5
strategy("Donchian Breakout", overlay=true)

entry_len = input.int(50, "Entry Lookback")
exit_len = input.int(25, "Exit Lookback")

highest_high = ta.highest(high, entry_len)
lowest_low = ta.lowest(low, exit_len)

if close > highest_high[1]
    strategy.entry("Long", strategy.long)

if close < lowest_low[1]
    strategy.close("Long")