New Profit at Pivot Strategy..Anyone know how to encode to EA?..Please comment

Hi there guys

I am new to FF..rarely a month....but i have learnt so much here..great work guys!...i got a nice strategy which i actually did a few back test on the GBP USD and USD JPY pair

Ok my Time is +8 GMT (Malaysia)

Usually i consider new market day at 5 am local time 25 July which is 5 pm 24 July in New York.

What I have found is this...

We need to calculate the pivot for the closing day.

For Instance.

USD JPY closing 21 July

High 117.05
Low 115.81
Close 116.16

Calculated pivot will be 116.36

If the difference between the closing & pivot is more than 10 pips, then it would be quite safe to enter a position for the new day and set profit target at pivot point.

IF Close Price is higher than Pivot by more than 10 pips, then we can enter a SHORT position n Take Profit at the Pivot point.

If Close Price is lower than Pivot by more than 10 pips, then we can enter a LONG position n take profit at the pivot point.

So for USD JPY above, we LONG at 116.16 and take profit at 116.36 (Pivot), we can get about 20 pips for this case.

IF Close n Pivot is less than 5 pips, I would say its abit tough to predict the market movement..

Currently I am doing it manually, this means i gotta get up early in the morning to take down the data at 430-500 am and key in my order..

There are some days (very rare) that it might not hit the pivot point at all.

I set Stop Loss at 30 pips. I am still testing this method.

I hope that one of you guys can help me create an EA for this as I am totally blur about programming.

Maybe you guys can test this out on other pairs and let me know your results..as you know..alot of brains is better than one..

Today i will be trying for AUD USD, USD CHF n EUR USD pairs too..PLease give me some comments..

sounds interesting.... What is your success rate?



Bagovino

Monday market opening was my first time testing...

First I BUY USDJPY @ 116.18 and Close at 116.29 (5 pips away from Pivot 116.34)

Second I SHORT GBPUSD @ 1.8596 and close at 1.8554 (5 pips away from Pivot 1.8549)

Total Pips 11+42 = 53 pips.

If u monitor the market..u can actually put trailing stop if it hits the pivot..just tat i didnt cos i went to bed after tat..

For today Tuesday testing im taking profit at pivot instead of 5 pips away.

1. Short UJ @ 116.70 PT 116.59
2. Long EU @ 1.2631 PT 1.2648
3. Short UCHF @ 1.2460 PT 1.2432
5. Short AU @ 0.7545 PT 0.7533

IF it hits all, i am looking at 68 pips total.

Maybe u guy can try it out tomorrow too.

Just google for Pivot Calculator if you want to calculate your Pivot easily.

what kind of stop loss do you use?
you can take usd/jpy and enter at begining of every day and you have like 88% chance of getting 10pips. the only problem is you need a 200pip stop.

Which pivot formula are you using? (H + L + C) / 3? It seems very simple and should be easy to code. I am a newbie too, if you still need help, I can do it. Just hope it will work.

He said 30 pips.

Hi Witchazel and GP2X

My formula is actually based on the day closing or new day opening price to retrace back to the pivot. Anything less than 5 pips between the price and pivot i would say its dangerous cos we do not know where is the market heading. But i noticed that if the pips difference is more than 10, we can make very good profit for each pairs. I notice the opening price has a tendency to retrace back to pivot.

For GU pair for July which i backtested, the onli day that didnt retrace to pivot is 20 July. That is why we need to put a SL to it. I think 30 pips is ok.

The previous day pivot was 1.8364 and Closing Price was 1.8421 which means we can enter SHORT position. It did not come back to pivot at all, instead for the day it went up to create a high of 1.8596 and settle at Low (1.8413).

From 3 July to 24 July for GU pair, We would have gain a total of 356 pips and a 30 pips loss (for 20 July). I think this is very exciting! A very simple formula indeed.

IF it hit the stoploss of 30 pips, we can simply trigger a new position to follow the new day trend. In this case, we will LONG at 1.8451 and set a PT of at least 30 pips to breakeven. But in this case, we could have easily make up to 145 pips if we monitor the trade.

(Vegas Method say that if the opening position moves away more than 30 to 47 pips away, chances will be it will be moving away in that direction for the day...That is why we need at least 30 pips as SL)

I still need to do abit tweaking to the SL so that we can enter position to follow the market trend for the day safely. Maybe you guys can test at different SL and give me the feedback.

GP2X, yes the pivot is (H+L+C)/3. Wat i need in the EA is trigger an open position base on the new day Opening price if the difference compare to the previous day pivot is more than 10 pips.

Time to open position shud be after NY Closing 5pm. I think 5.01 pm is ok.

If Opening Price above Pivot, we SELL and take profit at pivot
If Opening Price below Pivot, we BUY and take profit at pivot

SL adjustable

Hope you can come back to me. More feedback guys.

25 July Opening Market Result 5.01 AM MALAYSIA TIME +8GMT.

1. Short UJ @ 116.70 PT 116.59 HIT TARGET
2. Long EU @ 1.2631 PT 1.2648 HIT TARGET
3. Short UCHF @ 1.2460 PT 1.2432 HIT TARGET
4. Short AU @ 0.7545 PT 0.7533 HIT TARGET

Total 68 pips.

Some days we have big gaps. So,which point is the entry?
Close of previous day,or open of new day?
If open and close have much diffrent (because the gap) do you wait to getting the close point, or you open your order as soon as you clculate the pivot?

Automan!

I tested your system for just 7 days. 4 days for USDJPY(18,19,20 & 24th of current month) and 3 days for GBPUSD(18,19 & 24th). But Just one time it was proftiable(USDJPY 19th). I think 10 pips is not enough for confirmation .

Hello Hamid

OK. lets backtest UJ n open a 30minutes chart so that u can see the movements from the open.

OK lets not confuse everyone.

We get price from http://www.dailyfx.com/charts/Chart.html

N if u see from this chart, the Open n Close its the same. Brokers have spread so this might be confusing.

17 July Pivot calculated from HLC is 116.83.
18 July Open is 117.18, means we SHORT. It did come down to 116.80 means we HIT Target
Open to Pivot is 35 PIPS

18 July Pivot is 117.18
19 July Open is 117.30, means we SHORT. It did come down to 117.18 means we HIT TARGET.
Open to Pivot is 12 Pips

19 July Pivot is 117.13
20 July Open is 116.87, means we LONG. It went up to 117.13 means we DID NOT HIT TARGET.
Open to Pivot is 26 pips.

20 July Pivot is 116.81
21 July Open is 117.02, means we SHORT. It did come down to 116.73 means we HIT TARGET.
Open to Pivot is 21 Pips

21 July Pivot is 116.36
24 July Open is 116.16, means we LONG. It went up to 116.40 means we HIT TARGET.
Open to Pivot is 20 Pips

If you are worried u dont hit the pivot AND you like to protect profits then

IF SHORT, our new Profit will be pivot+5 pips
IF LONG, our new Profit will be pivot-5 pips.

Then your chances is much better.

Apply the same thing to ur GU pair. I hit my target for both 24 n 25 July also.

Hi Hamid

I will open the position after 5am Malaysian time. I will calculate the previous day pivot and see how much pips difference. Anything more than 10 pips away i will open a position n go back to sleep.

SL will be 30 pips.


Forward test it for a month then u can see the results. Help me to fine tune it if u have better ideas.

Hi Guys

Feel free to test this Pivot Strategy EA out. Let me know your results and also to see if there is anything to tweak.

My big thank you to GP2X who help me to create this file. Thanks mate!

Use this one instead, but I haven't tested it by myself.

Is this right?

High 126.74
Low 125.60
Close (lets say) 125.77

Pivot = 126.03

So at 5:01 est I would go long and expect it to reach 126.03 or a 26 pip profit by when tomorrow evening?

Thanks

Hi Automan,

I like your idea.
What about buying or selling the closest possible from the daily low or high and take profit from the next pivotal support or resistance. In this case, i'd put my stoploss just 10 pips away from daily low and high and get a better return.

Is the time that you trade with this system 00:01 GMT ?
I mixed up because diffrent time zones.

might anyone have an indicator that draws the pivots as a buffer instead of line objects. I want to see the pivots for each day as i scroll back on the chart. if not i can make one. would help with this strategy alot i think

ultralyons

yes i think u got the idea. but sometimes there are pairs who dont hit the pivot if its too far away..i am still testing on major pairs..

scale

i do not understand wat u mean...can u give an example? then things would be easier to understand.