For those who use Renko charts, what do you find is the optimal box size or ATR setting for day trading forex pairs like $GBPUSD or $USDJPY? I've been experimenting but can't quite dial in a consistent setup that reduces noise without lagging too much.
It really depends on your strategy and the volatility of the day. I've found that a dynamic ATR setting works better than a fixed box size for forex day trading, especially with pairs like GBPUSD.
For Renko, I generally stick to a fixed box size that's a multiple of the average daily range for the pair. For USDJPY, maybe 10-15 pips, but you'll have to adjust based on current market conditions.
Optimal timeframe for Renko is a bit of a misnomer since Renko isn't time-based. What you're really asking about is the optimal brick size. I'd suggest starting with a smaller ATR for day trading and slowly increasing it until the noise subsides, but not so much that you miss entries.