The Strategy Lab · by Loomi.Ai

Momentum Exhaustion Reversal ·Overdrive

Overdrive spots a move that has run out of steam, confirms the turn, and skips the sideways mess.

Momentum  ·  NQ · 15m / GC · 5m

$18,772
Net profit
6.47
Profit factor
84.6%
Win rate
13
Trades
The idea

The idea behind it, in plain words.

Overdrive hunts for exhaustion moves: the moment a trend runs out of the buyers or sellers it needs to keep going. That is where markets tend to snap back. The strategy reads that exhaustion first, waits for momentum (the speed of the price move) to confirm the turn is real, then checks the bigger trend so it only trades once the choppy, directionless stretches have cleared.

On most days, Overdrive does nothing, and that is by design: it waits for all three signals to agree before it commits. The published test, on NQ (the Nasdaq 100 futures contract) 15-minute charts and GC (the gold futures contract) 5-minute charts from 2024 to 2026, produced just 13 trades. That is a small sample, worth knowing before you read too much into the win rate. The exact rules, thresholds and timing behind each decision ship with the code, not with this page.

price action wakes up momentum carries it ILLUSTRATIVE, NOT DATA
Step by step

How the system makes its decisions.

01 · Read

Spot the exhaustion

Overdrive scans NQ and GC for moves that have stretched further than the market can sustain. It looks for the moment buyers or sellers are running out of fuel, before the reversal shows up on the chart.

02 · Decide

Confirm with momentum

A tired move is not enough on its own. Overdrive waits for momentum to turn in the same direction as the exhaustion reading before it takes the signal seriously. If momentum does not confirm, there is no trade, no matter how stretched the move looks.

03 · Trade

Filter out the chop

The last check is the trend. Overdrive uses it to screen out choppy, sideways conditions, the kind that wreck a reversal trade before it can play out. Clear that check, and the trade goes out.

Overdrive suits day traders who already trade NQ on 15-minute charts and gold futures on 5-minute charts, and who would rather wait for three signals to agree than trade every swing.

The record

The backtest numbers, in full.

Win rate84.6%
Profit factor6.47
Trades13
Net profit$18,772
View the signed public certificate →

Test window and data: NQ 15m · GC 5m, 2024–2026

Cost model: Commission $0.62/contract (futures) · 0.10%/trade (equities) · slippage 1 tick (a small price slip assumed on every fill) · pyramiding 0 (never adds to an open position) · bar-close calc only (every decision is made at the close of a bar) · fixed size (the same position size on every trade)

Verification: Checked twice: the same rules were run separately on TradingView and in Python, and both runs had to agree. The public certificate carries the record hash, a digital fingerprint that shows the numbers have not been altered since.

These are backtested results, meaning the rules were run on past price data. They are historical and hypothetical, they include the modeled costs above, and they do not guarantee future performance.

How to read these numbers

Win rate

The share of trades that made money.

Profit factor

Dollars won for every dollar lost. Above 1.0 means the system made money.

Max drawdown

The worst drop from a peak before recovering.

Net profit

The total result after the modeled costs.

Get the strategy

Own Overdrive. You get the strategy itself, not just a stream of alerts.

You receive the complete strategy as code that is yours to keep. The exact rules and settings are inside those files; this page only explains the idea.

  • The Pine Script (v6) version. Pine Script is the TradingView code that runs the strategy on your chart.
  • The Python version, for running it on your own computer or testing it on past data
  • Plain English setup instructions for both versions, written for beginners
  • The public certificate and trade record behind every number on this page
$99.99 one time
Overdrive · full strategy
Buy Overdrive now →
Or let Loomi Full Auto run it for you: $79/mo, up to 5 active strategies →
Sent to your purchase email within the day. Backtested results are hypothetical and do not guarantee future performance. Not financial advice.
Pairs well with

Cover more market conditions with a second system.

Coil

Breakout  ·  NQ · 60m

Coil catches the breakout, the move out of a tight range, and Overdrive catches the reversal once that move runs out of steam. Together they cover both ends of the same market cycle.

See Coil →