Traders often ask if there is a profitable Pine Script strategy they can use for trading futures. While it would be great to have a script that consistently wins, the truth is that no single strategy works all the time. If such a script existed, traders would simply use it themselves instead of selling or sharing it.
Trading strategies typically fall into two categories: trend-following and mean-reversion. The success of any given strategy depends more on simplicity and risk management than on the complexity of the script itself.
Trend-following strategies aim to capture sustained price movements and generally have a 60–70% win rate with a profit factor of 1.5 to 2. They work well in trending markets but may struggle in choppy conditions.
Mean-reversion strategies, on the other hand, rely on prices returning to an average level. These strategies often have a higher win rate, but they come with larger drawdowns when trades move against expectations before reversing.
Regardless of the approach, all well-documented strategies tend to converge on similar performance metrics, meaning there is no “holy grail” strategy that outperforms the market indefinitely.
Even with a solid strategy, risk management is what ultimately determines long-term success. The most successful traders:
• Cut losing trades quickly rather than averaging down.
• Scale into winning positions rather than increasing exposure to losing ones.
• Adjust position sizes based on market conditions using methods like the Kelly Criterion.
Paul Tudor Jones famously kept a sign on his desk that said, “Losers average losers.” This philosophy highlights the importance of managing risk rather than chasing perfect trade entries.
TradersPost does not offer a pre-built profitable Pine Script because no single script works under all market conditions. Instead, traders should focus on finding a simple strategy, managing risk effectively, and adapting to market changes. Reviewing well-documented trading principles and testing strategies over time is the best way to develop a sustainable edge in futures trading.