Video summary

I Tested Another 5 Free Elliot Wave Trading Algorithms from GitHub—Here's What Happened

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Summary of the video (Elliot Wave trading algorithms from GitHub)

The creator tests five “Elliot” trading algorithm variants from GitHub. All variants are built on the Elliott Wave Oscillator as the base indicator, but they differ in:

  • parameter settings
  • additional indicators used
  • buy/sell and exit rules
  • risk management features (some enabled, some disabled)
  • execution details (e.g., slippage handling, retry logic, trailing stops)

They use a shared strategy structure and consistently mention a setup involving:

  • a 5-minute timeframe for core strategy logic
  • an informative 1-hour timeframe in later variants
  • EMA-based buy/sell signals

The video focuses on what changes in each version’s key logic, then compares results using backtests, including equity curves and drawdown plots. Full reports are said to be available via the creator’s Patreon.

Backtests are repeatedly framed as non-guarantees and may not generalize once markets shift.

How to find the strategies

Most strategies can be located on GitHub using targeted search queries such as:

  • “Elliot V3”
  • “Elliot V5”

Strategy variants tested (main technical differences)

Elliot V3

  • Uses more aggressive ROI and stop-loss settings than later versions.
  • Buy logic: Elliott Wave Oscillator + RSI + volume, with conditions referencing thresholds vs EMAs.
  • Sell logic: triggered by price relative to an EMA threshold plus volume.
  • Includes an extra stop-loss concept:
    • activates at a small profit offset (around +1%)
    • then trails (trail below the highest price by a stated percentage)
  • Theme: catch strong momentum, but in a more aggressive style than later versions.

Elliot V4 (984)

  • Presented as more conservative / balanced than V3.
  • Similar core buy/sell structure, but with:
    • less aggressive risk settings
    • tighter/improved risk management implied compared to V3
  • Trailing stop-loss appears similar to V3.
  • Does not include exit/risk improvements later seen in V5 and V7.

Elliot V4 changed (tighter risk variant)

  • Briefly described as “almost identical” to the prior V4 version.
  • Focused on reducing risk via:
    • tighter stop-loss
    • faster profit-taking
    • slight adjustment to the entry threshold
  • Framed as risk reduction rather than a major architectural change.

Elliot V5 (and V5HO as an optimized variant)

Adds components aimed at greater real-world robustness:

  • Slippage protection
    • monitors trade execution
    • retries up to 3 times
    • if slippage is too high (described as >2% worse than expected), the trade is cancelled and retried
  • Dynamic/custom stop-loss concept
    • tightens as profit grows
    • but stated as not actually activated in the algorithm’s final behavior
  • Exit confirmation (final safety check before selling)
    • whether price is positioned between moving averages
    • slippage checks and potential sell retries
  • More advanced exit-related behavior, such as:
    • different order types
    • fill price management
    • a more advanced trailing stop system

Elliot V5HO

  • Described as an optimized version of V5 (or a confusing “V5 309” naming in subtitles), but with several advanced protections disabled, including:
    • slippage protection disabled
    • custom stop-loss disabled
    • “sophisticated exit signals” not available (e.g., HMA/EMA exit confirmation mentioned)
  • Intent/theme:
    • framed as more aggressive / higher profit targets
    • compared with V5’s more risk-managed focus.

Elliot V7 (most advanced structurally)

  • Presented as the most evolved architecture:
    • more additional technical indicators
    • uses a new informative 1-hour timeframe in entry rules
    • adds a more sophisticated exit section for sell rules
  • Missing some protections discussed in V5:
    • no intelligent slippage protection
    • no custom stop-loss settings
    • no exit confirmation mechanism described as present in V5
  • Intent/theme:
    • enter when multiple timeframes align
    • exit quicker in weak trends, hold longer in strong trends
    • reduce false signals

Backtest results & analysis highlights (equity/drawdown)

The creator warns that backtests aren’t guarantees and may fail to generalize due to market changes and tuning.

Elliot V3 results

  • Better on 15-minute than on the 5-minute it was configured for.
  • Claimed metrics (hypothetical):
    • >5,000% profit
    • ~65% win rate
    • ~11% drawdown
  • Equity curve: upward overall, but with sudden drops attributed to trades hitting stop-loss after entering.

Elliot V4 (984) results

  • >10,000% profit (hypothetical).
  • Lower win rate and higher drawdown than V3.
  • More trades suggested (subtly interpreted as possible overtrading).
  • Equity and drawdown show more variance/jaggedness, interpreted as less filtering of bad trades.

Elliot V4 changed results

  • Sits between V3 and V4:
    • >7,000% profit
    • ~13% drawdown
    • profit factor ~1.39
  • Less jagged than V4; drawdown spikes exist but are less extreme.

Elliot V5 results

  • Comparable to V3, with improvements:
    • higher win rate
    • lower drawdown
    • better stability
  • Noted as the only version scoring best on its intended 5-minute timeframe.
  • Equity curve: steady upward “creep” with fewer major dips.
  • Drawdown discussed as lower during more bearish periods, implying less unnecessary overtrading.
  • The creator expresses skepticism about curve fitting, especially in the more aggressive HO variant, while still crediting V5’s enabled rule set for performance.

Elliot V5HO results (important outcome)

  • Slightly critiqued because advanced exits are missing (slippage/custom stop-loss), yet it produces the best curve in certain conditions.
  • Claimed as the top scorer overall due to performance on the 30-minute timeframe.

Elliot V7 results

  • Middle-of-the-pack:
    • ~4,600% profit
    • ~73% win rate
    • profit factor ~1.5
    • ~11% drawdown
  • Curve described as a mix of earlier behaviors without a strong standout factor.
  • Drawdown is higher/longer than the V5 (309) variant.

Conclusions / “best” version (with caveats)

  • The creator’s “vote” for best scoring strategy is Elliot V5HO, mainly because:
    • it performed best on a 30-minute timeframe
    • it also scored higher on 5-minute than the runner-up (Elliot V4 changed)
  • Major caveat: the creator suspects scores may come from hyperoptimization (overfitting parameters to historical data).
  • Personal preference: the creator prefers Elliot V5309 (described as steadier and better at handling losing trades) because it matches their risk-avoiding approach.
  • Key lesson:
    • strategies with the same name can behave differently due to parameter tuning, timeframe choice, indicator rules, and exit logic.
    • backtest success does not guarantee live-market performance.

Main speakers / sources

  • Main speaker/source: The YouTube creator/host (no identifiable name provided in subtitles).
  • External source: GitHub repositories containing the “Elliot” strategy Python files.
    • The original authors are described as unknown to the speaker.
    • The speaker credits kudos to the original coders.

Original video