4 TF HA

This thread will be using the "4 TF Heiken Ashi arrows" indicator.
This will work on TFs 1hr and up, it will work on lower TFs but spread will kill you.

The entry will be on a closed candle with an arrow.
This indicator does not repaint, in as so much as it will not set arrows in stone, on the lower TFs if the HTFs are still fluctuating between the different HH candle colours.
So, as an example if the lowest TF is H4 then the highest TF is monthly. As such if you have a an established bull candle on, say, daily and weekly but the monthly is still undecided then you will have a bullish arrow on H4 only while the monthly candle is bullish. If it turns back to bearish, during it's month long forming, the candle on H4 will disappear.

Now I have done a visual backtest on EURUSD since the start of March 2018 till present, on 4hr TF. I will be forward testing starting Sunday August, 5 2018.

I have used 2 types of entry...first was after a candle closes with an arrow on your current TF (lowest TF) you enter a trade in the direction of the arrow and close after the next candle, be it win or loss.

Second type of entry (preferred) will be to set a pending order at the open of the signal candle (the one with the arrow) and close the trade when a candle closes above/below our entry price.

The chart below shows the last few trades taken (white is entry 1 and orange is entry 2) the large numbers are the results since March 1 2018.
Please note no SLs were placed on any of these trades, if you wanted to place a SL at the most recent high/low you would have had only a few instances where they were hit. See last two pictures. This affects only type 2 entries.

Chris

PS; If you see any reason why this will not work let me know. All results are in pips not points.

Very useful indicator.
Thank you so so so much.

I have gone through the backtested data again for the results if you took entry type 1 (safest entry for DD) every time and if a loss occurred you then take entry type 2
The resulting pips gained would be 590. I think this is a safer approach as it limits to a great extent the amount of DD you are faced with.

Entry type 1 has the advantage of no DD but losses.
Entry type 2 has no losses but higher DD (I say no losses if you do not set a SL...have a mental one or an emergency one that allows for a greater movement of price)

For the 5 months of the backtest the only trade I would consider as a SL hit would be the last picture I posted above.

Chris

Hi，Mr.Cfudae

Have a nice day.
Thank you for your sharing thread, it is interesting.
For the entry, I still a little confused.
Wound you pls provide more specific information?

Let me know if this helps

Chris

I have done the same back test as EURUSD for GBPUSD and GOLD
Here are the screen shots with the results
These tests were done with entry 1 and entry 2 only if a loss on entry 1
There were 2 SL hits on GU and 1 on gold (I am working on how to deal with these few trades when they occur) stay tuned...

Chris




Here is GBPCHF...one SL hit
I have made a change to the entry 2 which I will elaborate on later.

The change I eluded too last post is for a situation where the colour of the candle is opposite of the arrow.
So, if you have a red (sell) arrow and the candle is green (bullish) and the trade closes higher than the open you set an entry 2 trade at the open of the signal candle instead of the low.
I have decided to always set the entry 2 trades at the close of the candle not the High/low as first discussed.

Chris

USDJPY was not that great only 54 pips from march 1 2018.
AUDUSD looks more promising so here are the results...

Chris

I am looking to test more pairs but the ones traded right now are USDCAD EURUSD AUDUSD GBPUSD GBPCHF and GOLD

Here is the first few trades for the forward test.

Chris

So from all the backtests on the 6 pairs, from may 1 2018...

Total pips is 2000
Divide that by the 5 months and you get 400 pips a month.

Chris

This indicator repaints. You said it's not a problem, but backtesting a system like that is quite impossible.

So I have changed to the daily...too busy at work and miss a lot on 4hr.
Here are the trades so far.
Note; before taking a trade , change TF quickly to reset the indicator.

Chris

kelvin started the thread same as this one on the same strategy.

very interesting strategy,all the best,subscribed.

Here is Gold daily trade from Monday

Chris

LOss on USDCAD daily
So far 4 trades 3 win for $116.47 or 302 pips and 1 loss for ($24.70) or 77 pips...all positions are 0.03

Chris

How do you set a pending order at the open of the next candle? How do you know in advance what price it will open at?

very easy and powerful 4 H strategy that works almost all the time,
enter only if Pa braks the fractal lines following the arrow,check the bottom indicator,all 4 time frames will agree to it as well.
do not enter if the PA of next candle or few candle don't break the fractal line following the arrow appeared on chart.

you can add pivots,i prefer monthly pivots,MA and rsi for more confirmation.
exit on semafor ,I use 34,77 and 150 setting.

Dear coders are welcome to code an EA on this strategy, i would be very grateful.

Hi T4Trade,

Could you please post the above shown chart's template with indicators?

Thank you in advance.

Roy

Not the "NEXT" candle the "SIGNAL" candle

Hey Chris,
Are you still using the original two entry rules on the daily?