Turtle soup

Checked October 2026

Turtle Soup fades a new 20-day extreme, on the idea that the breakout fails and price goes back through the old high or low. Connors and Raschke published it in Street Smarts in 1995. Backtoast ran it on futures. It lost 0.8% a year over 135 trades and failed.

Backtoast

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Turtle soup

It's named for the Turtles' 20-day breakout, which it trades against. When price makes a new 20-day low and the old low is at least four sessions back, a buy stop goes just above the old low, so the trade only fills if the breakdown fails and price comes back. The stop sits under the day's low and trails once the trade is in profit. Shorts are the mirror at 20-day highs.

The run used daily bars, so it couldn't see an intraday fill. It counted a setup only when the day closed back above the old low and bought at the next open, and it didn't take the second try the quoted rule allows after an early stop-out.

It fades the same 20-day breakout that turtle trading buys, and the 80 20 day trade is the other Street Smarts reversal on this list.

Where it comes from

Laurence Connors and Linda Raschke published it in Street Smarts in 1995. The book wasn't in hand, so the rule follows the version quoted from it, and Connors's own later write-up says three sessions instead of four. The run traded the E-mini S&P 500, 10-year notes, crude oil and gold from late 2021 to October 2026.

The run is Backtoast's, from 29 October 2026, after costs.