This is a very simple idea for Auto-Trading (using Expert Advisor)
My idea is to follow the big candle. Open a trade in the direction of the big candle.
Big Candle is identified as follows:
The size of candle (from Low to High) is greater than ATR(atr_period) x ATR_Multiplier
So for example, for GBP/USD, H4, suppose ATR(21) was 30 pips, and we set ATR_Multiplier to 2.5, so we are looking for H4 candles with range > 2.5 * 30 = 75 pips.
So If High-Low of current H4 candle reaches 75 we go long if candle is up, and we go short if candle is down.
(There is an option to open a trade in the current candle (recommended) OR wait for the candle to close)
Take Profit, Stop Loss and Trailing Stop can be of Fixed Pips or Multiple of ATR (recommended).
It is preferable to use large TP in order to utilize Trailing Stop which produces better R:R ratio.
EA will close the trade if an opposite candle appears, and opens a new trade in the other direction,
Or will wait for either SL or Trailing Stop or TP reached and wait for another trigger.
Expert Advisor versions:
Here's the EA.
If you like to use the above (Fixed Pips instead of ATR multiples, notice if your broker is using 4 or 5 digits. For 4-digit brokers 100 means 100 pips, while for 5-digit brokers it means 100 points, so change it to 1000 if you want 100 pips)
That's it. Give it a try on DEMO, and share your feedback.
nice, so the calculation to open new order mean where the order start automatically.. right? i'll get it to try. will be back here with the result. Which best timeframe you suggested?
thanks for sharing abok, i make some test and gotta very good results, all of them make prfit. Im very interesting now, will post the charts here soon..
I've thought of some improvements on the EA:
1. Include a moving average parameter in order to take only the trades that go with the Trend.
2. Ignore Signals that are way too far from the moving average.
3. Take Partial Profit at specific distance from the moving average, and leave the rest trailed.
I'm gonna include these modification in the next release.
New ideas are welcome,
What MA period are u looking at 55,60,100,or 200 MA
Here you go. The new release with test results for GBP/USD as before (H4,2013), parameters are in tester image attached.
Modifications done are:
1. Removing Fixed TP,SL and Trailing Stop. Every thing will be based on ATR so that it will be easier to apply to any pair.
2. Adding of the following new parameters:
Please note that this is a work in progress, do not try with live trading. Use only for testing or demo. Our goal is to reach an optimum solution.
Notes about the second release:
1. Profit factor has increased from 1.89 to 3.02. We had 18 won trades out of 20 taken !!!
2. Although we have increased the risk percentage from 0.02 to 0.05, relative draw down has not changed much (from 17.19 to 19.12). Maximal draw down is almost the same (17%).
As we have many options I encourage everyone to test with different parameter settings on different pairs/timeframes. May be we have some potential here.
I'd very much like to test your EA, i've added it to my experts folder, but when I go to the Navigator/Experts, to drag it on a chart, it isn't in there?
If you're on a new build of MT4 (600 or higher) then EA's and indicators need to go into a different file location
Go to where you have stored the EA (presumably in the Experts folder) and copy it. Inside Metatrader click File > Open Data Folder. Then open the MQL4 folder, then the Experts folder, and copy the EA into there. Close and re-open MT4 and the EA should be there
Lets try shorter time frames. These are two tests on EUR/USD and GBP/USD on M30 for 2013. Results attached.
Notice that since we are using a shorter time frame here, I've set MA to 100 and ATR multiple for candle size to 5.
Also the other parameters are bigger (compared to H4).
Ideas to improve guys.
Thanks for that Andy B, got it working now
abokwaik, I am still on old MT4 and I put it in expert folder and I don't see it in MT4.
is this only for build 600?
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