{"schemaVersion":"1.0","type":"BacktestEvidence","id":"https://formiq.jp/evidence/renko-chart-settings/data.json","evidencePage":"https://formiq.jp/evidence/renko-chart-settings","language":"en","article":{"title":"Is Trading Renko Reversals Profitable? 1,080 Settings Tested","url":"https://formiq.jp/blog/renko-chart-settings","published":"2026-08-29","updated":"2026-08-30"},"author":{"name":"Yuichi Saiki","alternateName":"斉木勇一","url":"https://formiq.jp/about/yuichi-saiki"},"verified":"2026-08-30","question":"How should a Renko brick height be chosen, and does the grid offset — which is not a setting — move the result?","finding":"The grid offset, which no chart exposes as a setting, moved the result as much as the brick height did. Holding the brick at 20 pips and shifting the grid through ten positions moved the 2025 USDJPY result from +222 to +3,083 pips. The brick height itself had no fixed answer: hourly bars liked 15 pips in both years (+3,084.3 pips over 808 trades in 2025, +2,177.7 over 765 in 2024) while 15-minute bars wanted 30 pips in 2025 and 10 pips in 2024. A brick contains no time, but the timeframe survives inside it: the same 10-pip brick built on 2025 USDJPY produced 8,041 bricks from 15-minute bars, 5,270 from hourly and 3,298 from four-hour, a factor of 2.4. Recording fills at the brick close flatters the result because it absorbs the overshoot: on hourly 20-pip bricks that overshoot averaged 7.60 pips and favoured the trade in all 15 cells. Repricing the same trades at brick closes improved all 30 cells, turning +1,491.5 pips into +10,500. The look of the runs survives shuffling: across 15 cells the share of bricks reversing the previous one differed by at most 2.4 points, and the mean run length by −0.19 to +0.16 bricks.","methodology":"Measured with Formiq's backtester. Fills use the candle's close, not the brick's close. Two readings — a change of brick direction, and N bricks in the same direction — exiting on the opposite signal. As a control, the same year's closes are shuffled bar by bar and the same bricks rebuilt, so the run structure can be compared.","scope":["USDJPY. 2025 as the main window, 2024 out of sample, plus the two halves of 2025","15-minute, hourly and four-hour bars","6 brick heights (5 to 50 pips) x 2 reversal rules x readings (direction change, or N bricks for N = 2 to 5) = 720 runs, plus 10 grid offsets = 360, for 1,080 in total","0.3 pip spread, 0.1 lots, filled at the candle close"],"keyResults":[{"label":"Shifting the grid through ten positions, 20-pip bricks in 2025","value":"the result moves from +222 to +3,083 pips"},{"label":"Bricks built from the same 10-pip height in 2025","value":"8,041 from 15-minute bars, 5,270 hourly, 3,298 four-hour"},{"label":"Repricing fills at the brick close","value":"improved all 30 cells; hourly 20-pip went from +1,491.5 to +10,500 pips"}],"limitations":["USDJPY in 2024 and 2025 only.","Only ten grid offsets were measured. A 20-pip brick has twenty of them, so the measured spread is a lower bound.","The shuffled series discards each bar's shape, reconnecting closes only, so it can only be compared against rules that read closes.","Only two reversal constructions were tried. Some implementations require three bricks before a reversal.","Renko construction itself varies between tools: some build from closes and some from highs and lows. This test builds from closes.","Order-level slippage is excluded and the spread is fixed at 0.3 pips."]}