Donchian Channels
Indicators II
The turtle breakout
Upper band = highest high of N bars, lower = lowest low. Buying 20-bar-high breakouts made the Turtles famous. Crude, robust trend-following that still works in real trends.
Check yourself
A 20-day Donchian breakout system buys when…
- RSI is oversold
- Price makes a new 20-day high correct
- Volume dries up
New N-bar high = definitionally a trend attempt. Simple, mechanical, uncomfortable. That's why it works.
Learn this properly
This term has a full interactive lesson in Wick — the chart, the pattern to tap, and a live practice terminal to try it on. Free to start.
Open the lesson