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The Bladerunner Trade Strategy – A Clear Trend-Following Approach

Forex – 03 Feb 2025

The Bladerunner Trade is a simple yet effective trend-following strategy based on the 20-period Exponential Moving Average (EMA). It helps traders identify trend breakouts with high accuracy, making it ideal for beginners. Best suited for M30-H1 timeframes, it relies on EMA confirmation, support/resistance levels, and breakout patterns.

How the Strategy Works

The strategy operates through four key steps:

  1. Breakout from the Consolidation Zone
    • The price breaks through the support/resistance of a range, signaling the start of a new trend.
  2. Confirmation with Breakout Patterns
    • Look for a sequence of three or more candles moving in the breakout direction.
  3. Break of the 20 EMA
    • Once the price breaks out, the candles must close above or below the EMA (20), confirming trend momentum.
  4. Retest of the EMA
    • Price pulls back to touch the 20 EMA, bounces off, and continues in the trend direction.

Risk Level

  • Low to moderate. The strategy uses multiple confirmations, reducing false signals. However, false breakouts can still occur.

Reward Ratio

  • 30-50 pips per trade, often closed using a trailing stop for maximum gains.

Trade Duration

  • Typically intraday trades on M30-H1 charts, ensuring low swap costs.

Entry & Exit Points

Entry:

  • Open a position after price retests the EMA and resumes the trend.

Exit Options:

  • Partial take profit at 30-50 pips, securing the rest with a trailing stop (15-20 pips).
  • Exit when a new consolidation phase forms.
  • Close the trade if price crosses the EMA in the opposite direction.

Pros & Cons

Pros:

  • Clear signal logic combining trend breakouts and moving averages.
  • Works well for beginners, offering high probability trades.
  • Effective in trending markets with minimal monitoring.

Cons:

  • Market conditions vary—EMA (20) alone isn’t always reliable.
  • Customization is needed for different timeframes and assets.
  • Rare signals—not ideal for high-frequency traders.

Final Thoughts

The Bladerunner Trade strategy offers a structured way to capture strong trend movements with clear entry/exit rules. While effective, traders should adapt it to different markets by experimenting with EMA settings and additional indicators. Always backtest before live trading.

Drop us a line

Need a hand tightening up your digital strategy and planning out your product roadmap? Whether you’re public or private, we’re here to help. Get in touch with René, our Managing Director

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Drop us a line

Need a hand tightening up your digital strategy and planning out your product roadmap? Whether you’re public or private, we’re here to help. Get in touch with René, our Managing Director

Book a chat