# Breakout Strategy AI Agent Connect

> A deterministic Donchian Channel breakout strategy based on Turtle Trader principles.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_gFOBCaSSvZH17cS1cSPlWlZOX4EqFRfSuowwyLpE/ai-agent-connect
- **Tags:** donchian, turtle-trader, breakout, trend-following, volatility

## Description

This MCP server provides quantitative tools to execute a trend-following strategy using Donchian Channels. It identifies price breakouts by monitoring high and low price ranges, filtered by ADX trend strength and volume confirmation. Use `calculate_signals` to identify entry and exit points, `get_summary_statistics` to analyze performance metrics like max drawdown, and `validate_market_conditions` to check if the market is in a Trending, Ranging, or Exhaustion tier.

## Tools

### calculate_signals
Analyzes historical price and volume data to generate specific buy, sell, or hold signals for every time interval (bar)

### get_summary_statistics
Provides a high-level overview of the strategy's performance and market conditions over a specific range

### validate_market_conditions
Checks if the current market environment is suitable for the breakout strategy based on trend and volatility

## Prompt Examples

**Prompt:** 
```
Generate buy signals for this price data.
```

**Response:** 
```
The system identified a BUY signal at bar 25 with an entry price of 150.50 and a stop-loss of 145.20.
```

**Prompt:** 
```
Is the current market trending?
```

**Response:** 
```
Yes, the ADX is 30, which indicates a trending market.
```

**Prompt:** 
```
What are the summary statistics for this dataset?
```

**Response:** 
```
The average volatility was 2.5, with a maximum drawdown of 12% and 5 total buy signals.
```

## Frequently Asked Questions

**How are buy signals generated?**
A BUY signal is triggered when the price closes above the highest high of the preceding entry period, provided volume is high and ADX indicates a strong trend.

**What is the purpose of the `validate_market_conditions` tool?**
It checks if the current market environment is suitable for trading by evaluating trend strength, volume, and price exhaustion.

**How is position size determined?**
Position size is calculated using ATR to risk exactly 1% of total capital per trade.