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Strategy Library / Trend Breakout Blueprint

MNQ Donchian 20 Breakout Short 3R

A public playbook for the MNQ Donchian 20 Breakout Short 3R Strategy Lab published edge.

53 trades / 41.5% win / 2.05 profit factor / +23.31 avg pts.

MNQ New York 1m Chart Short Setup regime_dxy+entry_dxy=flat+flat 53 Trades
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Trades 53 Saved Strategy Lab published edge
Win Rate 41.5% Wins over resolved sample
Profit Factor 2.05 Gross win / gross loss
Total Points +1235.66 MNQ points captured
Avg Trade +23.31 Average points per signal
Annotated Setup Chart MNQ / 1m Chart / New York
Annotated MNQ Donchian 20 Breakout Short 3R setup chart
Generated setup chart based on saved strategy anatomy and research stats, not a trade recommendation.
Research-backed Real stats Rule based Context filtered Live alert ready

What This Setup Is

A Turtle-style short breakout that waits for price to accept beyond the 20-bar Donchian channel.

Why It Fires

The channel turns recent range structure into a simple decision line. Acceptance outside the 20-bar boundary can start expansion.

Exact Trigger Checklist

  • Chart: MNQ 1-minute bars during the New York setup window.
  • Build the pattern before entry; do not label it after the move has already worked.
  • Required filter: regime_dxy+entry_dxy=flat+flat.
  • Short only after the trigger confirms and acceptance holds.
  • Use the tested 3R model and invalidate above the setup zone.

Good Conditions

  • The channel forms from real compression rather than one random wick.
  • The channel boundary is visible before entry.
  • Follow-through expands after the break.
  • The filter bucket supports trend continuation.

Avoid Conditions

  • Price breaks the channel and immediately snaps back inside.
  • The channel is too wide to support the tested stop model.
  • The break fires directly into a major opposing level.
  • The market is already exhausted before the channel break.

Setup Anatomy

Bearish market context filter chart anatomy for 20-Bar Channel Step 01
1 20-Bar Channel Build the Donchian channel before the trigger.
Bearish channel breakdown chart anatomy for Breakdown Step 02
2 Breakdown Price accepts below the channel low.
Bearish continuation path chart anatomy for Expansion Step 03
3 Expansion The setup looks for downside continuation toward the 3R model.
Alert Readout

Tier 2: MNQ Donchian 20 Breakout Short 3R. A Turtle-style short breakout that waits for price to accept beyond the 20-bar Donchian channel. Filter: regime_dxy+entry_dxy=flat+flat. Research sample: 53 trades, 41.5% win, 2.05 PF, +23.31 avg pts.