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-   -   Multi time frame Simple MACD system (https://www.forexfactory.com/showthread.php?t=444196)

garfield75 Aug 27, 2013 12:02am | Post# 1

7 Attachment(s)
After going through lot of complex trading systems and indicators.. I have now using system which is very simple and seems to work well.
so I am sharing the system here with everyone. Please provide your view point and maybe someone can help me automate this system.
It uses only 1 indicator 3ColorMACD.

3 setting for the indicator on 4 hour chart
1) 12,26,9
2) 72,156,54
3) 360,780,270

3 setting for the indicator on Daily chart
1) 12,26,9
2) 60,130,45
3) 240,520,180

I trade it on 4 hours chart only.
Buy when all 3 setting of 3colorMACD turns Green. Buy stop order on top of the trigger candle with stop at the other end of the candle. Target is same distance as Stop. so it's always 1:1 R:R. Stop move to breakeven when price moves half way to the target.

on 4 hours chart, the MA is mapped to daily 200 MA position. so if that MA is within the RANGE (between Stoploss and profit target) of trade setup, skip the trade.
Also if the trade profit traget is less than 25 pips, skip the trade.

Currency Pair Exclusion List :-

  1. USDSGD
  2. AUDSGD
  3. EURGBP


Update - 1st Sept - 2013.
Added 1 hour and 30 min template for anyone interested to trade those timeframes.\

Update - 12th Sept -2013
Additonal templates with different colors can be found here - http://www.forexfactory.com/showthre...69#post6958269
Indicator with notification and alert added. MTF MACD Signal v1.1.ex4

Update - 21st Sept 2013
EA - http://www.forexfactory.com/showthre...26#post6978926
3colorMACD.mq4
4 hours-multitfmacd.tpl
1 hour-multitfmacd.tpl
daily-multitfmacd.tpl
30min-multitfmacd.tpl
Click to Enlarge

Name: macd-settings.gif
Size: 9 KB
MTF MACD Signal v1.1.ex4


lazyegg Aug 27, 2013 12:09am | Post# 2

Garfield &5

interesting, can you post some chart?
is this system only work for 4HR TF? did you ever try lower TF?

THX

goldfinger Aug 27, 2013 12:12am | Post# 3

welcome to glory hunters paradise

garfield75 Aug 27, 2013 12:51am | Post# 4

Garfield &5 interesting, can you post some chart? is this system only work for 4HR TF? did you ever try lower TF? THX
thanks. I haven't tried this on lower TF as I don't trade lower than 4 hours due to noise and wipesaws.
I am going to start trading this on daily TF from next month - sept 2013 as well as on 4 hours.

garfield75 Aug 27, 2013 12:53am | Post# 5

1 Attachment(s)
Here is a good example of GBPJPY 4 hours chart that I have a pending short trade open.
Entry at low of trigger candle.
Click to Enlarge

Name: GBPJPY.JPG
Size: 86 KB

garfield75 Aug 27, 2013 2:01am | Post# 6

1 Attachment(s)
GBPJPY Trade has triggered, now wait to see how long it takes to get to profit target of 75 Pips
Click to Enlarge

Name: GBPJPY-Active.JPG
Size: 83 KB

garfield75 Aug 27, 2013 3:33am | Post# 7

1 Attachment(s)
GBPJPY went in the right direction after london open. Moved trade to breakeven.. now just wait to hit TP..
Click to Enlarge

Name: GBPJPY-moved to breakeven.JPG
Size: 81 KB

Davit Aug 27, 2013 3:44am | Post# 8

Hi Garfield

I don't know if you are doing this but selling and buying decisions should be considered where price is in relation to supply/demand and support/resistance levels.
For example all your 3 indicators can have green on top of swing and you go long and get crashed.
I just think mechanical signals specially lagging ones can't tell price Action.They are brilliant in past historical view but seldom accurate in real time.
Regards

cbj Aug 27, 2013 3:49am | Post# 9

Hello All
New to the thread. What broker platform are you using? Thanks for the help.

garfield75 Aug 27, 2013 4:08am | Post# 10

1 Attachment(s)
Hi Garfield I don't know if you are doing this but selling and buying decisions should be considered where price is in relation to supply/demand and support/resistance levels. For example all your 3 indicators can have green on top of swing and you go long and get crashed. I just think mechanical signals specially lagging ones can't tell price Action.They are brilliant in past historical view but seldom accurate in real time. Regards
Agree all indicators are lagging. as you can see with my example of this GBPJPY trade, it was in real time where I showed the entry and outcome of the trade. This system give me a fair number of postive trade, Risking 2% per trade, it is quite easy to make 10%-15% a month on this system without being too greedy.
Click to Enlarge

Name: GBPJPY-Trade Closed.JPG
Size: 156 KB

garfield75 Aug 27, 2013 4:09am | Post# 11

Hello All New to the thread. What broker platform are you using? Thanks for the help.
I trade with 2 brokers - Axitrader and IBFX.

juicyt Aug 27, 2013 5:53am | Post# 12

Hi, can you make up the past trades on the pics you put up?

Thanks

garfield75 Aug 27, 2013 11:23pm | Post# 13

3 Attachment(s)
Hi, can you make up the past trades on the pics you put up? Thanks
here are some example of winning trades.. let me know if you want to see few losing trades examples happy to post that too since there are always winners and losers in a trading strategy.
Click to Enlarge

Name: GBPCHF Trade.JPG
Size: 95 KB
Click to Enlarge

Name: GBPCAD.JPG
Size: 99 KB
Click to Enlarge

Name: CHFJPY Trade.JPG
Size: 83 KB

4xPIPAHOLIC Aug 28, 2013 9:33am | Post# 14

{quote} here are some example of winning trades.. let me know if you want to see few losing trades examples happy to post that too since there are always winners and losers in a trading strategy. {image} {image} {image}

Well Done ! Continue, as long as it is profitable everything is accepted.....even lagging
Continue......

Long time ago I used to trade a system very similar.....I used 2 macd's(and traded the direction of the cross).....you can see my trade explorer (Boomerang) it was VERY PROFITABLE.....
The only reason I stopped was cause I discovered a better system....but it was profitable and a stepping stone for me.....

baoming Aug 28, 2013 7:50pm | Post# 15

Thank you for this system & congratulations to this new thread, garfield75!
I manually tested it for 30 minutes using year 2013 EURUSD data with SL: 75 TP: 75. It's promising. And it's so easy to test!
The 'stop entry on top/bottom' really does filter out lots of false trades.

whatfx Aug 28, 2013 10:51pm | Post# 16

After going through lot of complex trading systems and indicators.. I have now using system which is very simple and seems to work well. so I am sharing the system here with everyone. Please provide your view point and maybe someone can help me automate this system. It uses only 1 indicator 3ColorMACD. 3 setting for the indicator 1) 12,26,9 2) 72,156,54 3) 360,780,486 I trade it on 4 hours chart only. Buy when all 3 setting of 3colorMACD turns Green. Buy stop order on top of the trigger candle with stop at the other end of the candle. Target is...
a few clarifications required:

on the macd what are the settings for the following fields... ''count bars'', ''line'', and ''zero level'' ?


even if all 3 colours match, do you still have to wait for the macd to go above the zero line (on the first shorter macd) for a buy, and vice versa for a sell ?

even if all 3 colours match, do the bars on the macd have to be of certain size, length, because smaller bars dont really count right ?


how many bars of a certain colour must there be first before you can take the next colour change as a valid colour change ? for example if you only have one red bar and then a green bar appears, surely that cannot ba a valid colour change ?


when all 3 macd colours match, do you wait for that 4hr candle to close first and then enter on open of next 4 hr candle ? also, would it not be a good idea to enter on break of high / low of the signal candle ?

ta

garfield75 Aug 29, 2013 4:33am | Post# 17

{quote} a few clarifications required: on the macd what are the settings for the following fields... ''count bars'', ''line'', and ''zero level'' ? even if all 3 colours match, do you still have to wait for the macd to go above the zero line (on the first shorter macd) for a buy, and vice versa for a sell ? even if all 3 colours match, do the bars on the macd have to be of certain size, length, because smaller bars dont really count right ? how many bars of a certain colour must there be first before you can take the next colour change as a valid...
''count bars'' = 1000
''line'' = 2
''zero level'' = 0.0

even if all 3 colours match, do you still have to wait for the macd to go above the zero line (on the first shorter macd) for a buy, and vice versa for a sell ? No

even if all 3 colours match, do the bars on the macd have to be of certain size, length, because smaller bars dont really count right ? No

how many bars of a certain colour must there be first before you can take the next colour change as a valid colour change ? for example if you only have one red bar and then a green bar appears, surely that cannot ba a valid colour change ? Just 1 at minimum, question then is - what about ranging market, Since my trader are set on top of bottom of the trigger candle and cancel automatically when the next 4 hour candle opens, I not experinced ranging issue yet on 4 hour chart.

when all 3 macd colours match, do you wait for that 4hr candle to close first and then enter on open of next 4 hr candle ? also, would it not be dla good idea to enter on break of high / low of the signal candle ? Yes, Trades are setup on the close of the candle only, this way there is no issue with repainting. Entries are always on High/Low of the candle.

hoss Aug 29, 2013 3:43pm | Post# 18

I may have missed it, but what currency pairs are you using for this strategy? Thank you.

00piotr2 Aug 29, 2013 4:00pm | Post# 19

How are your results, expectancy of pips per month?

carlostedo Aug 29, 2013 4:51pm | Post# 20

First, thanks for the system. I tested and when I used your template on my mt4, a moving average appeared and i don't know the meaning of it. Have it a meaning?


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