OsMA indicator and mechanical automatic trading

Hi,

You are so welcomed to join my new thread about a well known indicator OsMA.

first of all, I am not native in english , so please forgive me if i did not explain , write or reply in good english.

well, I had done few threads about my experiments in forex and about some of the strateigies that "it might be a success " with some of you and me too.

but the question is " at which i was thinking of it since long time", MT4 has some built in indicators and the inventors and coders of the MT4 are clever programmers and they have made this system , so why am i still searching and trying to write more complicated codes ?

why not to use their original systems?

i do not here sell anything at all....

and i want here to be very clear that this system is to teach the newbie traders that the life with forex does not require complicated systems...

i was watching the you tube b4 few days back in arabic films of forex and english too and i saw so many " arabic crazey " forex titles such black dog strategy , the elf trading system, the GOOD believers trading system... and all are fake and bullshits.

so i have decided to make this thread as i know my name is a well known arabic popular name and many newbie arabic traders mainly and others are confused and losing money bcz of the complicated systems so this a try to help

example of simple osma trading



I was really fed up with all "wrong theories" and fake strategies published by arabic scammers on you tube and with the ones that i had read in the internet, also tired from the repainting indicators.

i built more than 1000 's of Ea's to each theory or strategy that i found it in the internet and i was thinking it will generate money.... i was really wasting my time...

the evidance is simply that still you are reading my points searching for a clue for better theory to overseed your recent strategy and to have more income from this "non random market".

yes it is not random.

and yes the big gurus will not use stop loss.

and yes losers are 93% of forex traders.

i am really fed up.

if I open the trade to the north then the market will go to the south.

if I open the trade to the south then the market will go to the north.

i reduced my leverage from1:500 to 1:100 then 1:10 and still, the ea or the strategy i am using will fail after few days or weeks...

then why not, let's go back to the old school.

i checked macd, osma, stoch....etc

then i have noticed that the market as i do believe is controlled by gaint servers and gaint hidden players and there is a pattren .. OMG. it is very clear that i was trading in the wrong way.

i will not take long time from you

to make the story short.

and as i gave up trying new systems, i decided to go back to old school

OsMA:

why not ?

it will show you the trend on each time frame.

it will show you the high high, low low, low high, high low, support and resistance areas "yes true", it will give you signals about the counter trend, the retracing, the bulls, the bears.... wow.

for trend trading it is good

for counter trading it is good

it is simple

but it has one redraw ... it is a laging indicator.

how to overcome this defect ///// laging in the OsMA, and sorry i will not keep typing it as OsMA.. i will make it osma - easier for typing

lagging

meaninig of lagging for a coder :

if i want to use the recent bar, i will not be able to take any usefull details as the recent bar will react as per the price direction, if the recent bar goes up the snake head of the osma will move up in the recent osma bar, and at the same time, when the price goes down, the snake head of the osma will move down till the time is over and new bar is established then the bar called recent ( bar 0 ) will become bar 1 ( old bar )... but the good thing is that :

IT WILL NOT REPAINT THE OLD BAR .... BAR 1 END VALUE WILL STAY CONSTANT.... ABOVE ZERO ... OR UNDER ZERO .... OR SIMPLY ZERO.

LAGGING IN OUR LIFE IS A MUST.

I WAKED UP 7:05 AM, OK, ANOTHER 5 MINUTES , SWEET 5 MINUTES IN THE BED, THEN OH, WHEN I HAVE CHECKED THE CLOCK IT IS 7:15 AM, SO I RAN LIKE A CRAZEY TO MY WORK HALF SLEEPY....

I WANT TO REACH MY WORK EARLY, BUT FOR THE TRAFFIC JAM I AM LATE ONE HOUR... IT HAPPENS... AND I MUST APOLOGIZE TO MY MANAGER FOR THE DELAY WITH BIG YELLOW SMILE.

I WANT TO INFORM MY WIFE TO COOK CHICKEN FOR DINNER WHILE I AM DRIVING HOME FROM MY WORK BUT WHEN I DECIDED TO CALL HER, I FOUND THAT SHE ALREADY COOKED PIZZA .

SO I MUST EAT PIZZA OR I WILL SLEEP WITHOUT DINNER.

SO WE MUST UNDERSTAND THAT , LAGGING IS A MUST IN OUR ORDINARY LIFE AND WE MUST LIVE WITH IT.

so we must find a solution

osma is a lagging indi bcz it is built up by two moving averages at which both of them are lagging indicators.

we must accept the osma with its lagging actions...

but do not worry

it is only 1 bar lagging... not too much

and again it will not repaint old data... so, i can live with the 1 bar delay or lagging ... but the funny thing in this lagging bar that it is the key to your next trade.

i will not ask you to go and read about the osma or how it is formed, this is up to you, but let's us the fact that most of the 93% losing traders are not coders, and they are not progranmmers and they want only to make money by simply buy or sell the pair and boooom the loss is waiting them in the next corner !!

i do expect that some of you will say oh come on man shut up and let's find more complicated system to trade...

let's add stop loss and let's use more complicated ea's ... we like the hard way


so i do not care, i will not say my x-manager famouse words " my way or high way "

i will say ; use any highway you like

so lets begin ..... the story of the osma and the mechanical automatic trading.

osma : the funny thing in this lagging bar that it is the key to your next trade.

lets see the ea using osma - naked pure osma

as you can see from the initial results that the osma will generate money

the lagging bar is a key for next trade and here comes the magic of the osma you can use it on any time frame with proper and wise control of the wrong trades in any means you like, you will be happy

i will show more runing of the test

again no stop loss , but you can use it if you like to control the trades...


now lets use the manual trading b4 we go to the automatic trading....

one by one

if you master the manual trading then the ea will be just a toy in your hand.

i am using the tester on H4, but later on i will show you that the same trading osma simply is working on time frames 15 min till 1 month.

i do not recommend to use osma in trading for 5 minutes or 1 minute

the control panel is simple as the manual trading

bytheway:

the RSB theory for trading is very similar to the osma, but i was not able to find the signals generator.

however, the osma in any set points will operate to give you signals

i use defalut 12/26/9

how to understand the ea

you must first try it manually

as you can see from the above foto

only buy lot and sell lot with total profit of $0.52 and box size of 500 point (take profit ) no more no less

very simple

renko, range bars, solar system, ...bla bla bla ... are all waste of time.... painting and lagging and sending false bars and you need to refresh the chart to enable the ea or indicator of the off chart to operate then boooooom the signals are wrong

but in osma

the box and the bar are not repainting.

only the problem is 1 bare ... the last bar... bar 1 ... not recent bar..... bar 0

first of all

your chart must have at least 300 bars

i will show you how this osma will work on 1 hour chart too

see the example here under

by the way :

this is not a holy grill method, there are defects in the system such as any other system in our lives and in this world.

and

I am not trying here to sell anything at all....

it is just a system we should reconsider it from the old school

and

for smaller time frames, the redraw will increase slowly slowly... like a snake moving into the garden.....

Attached Image (click to enlarge)

Attached Image (click to enlarge)

there is not martinage

but you can add it in the code or in your manual trades.

the set points are 12/26/9

you can change them to any set points you like... ( i will add it later on in the ea setpoints )

but if you like the idea

then lets try it in manual trading

rule number 1


the amazing thing that, when i open any trade , i must and i will wait it to close it on profit if my decission and "guess" was correct few few hours, so lets see the pattren here the H4.
so the osma is best on H4

you will say come on man, will i wait 4 hours to get the trade...

my answer

yes and yes
and yes

i want you to go back and check all of your trades , when did you open them and when did you close them.... if you are not a scalper...

so the best time frame for the manual or automatic trading is the H4

rule number 2

time zone

it will work on any time zone

best is the london and tokoyo .. ... .

rule number 3

no stop loss ( this is my style ) , you can add your stop loss if you like

take profit on H4 is not less than 500 points or 50 pips for all pairs... yes sir, for all pairs that we call them major and cross pairs but do not use osma with the exotic or stange pairs that have high spread

the spread must be less than 35 points or 3.5 pips...

grid one day account wash

rule number 4

trade style : follow the trend or counter trend

both are correct in any direction the wind of the forex sea will take you.

( i mean it will happen both in the same way - no need to be worried... the osma automatically will guide you to either this or that )

do you need to make "compounding"? the answer is ----: not necessery but it will be happened by default.

do i need to make martinage / no you do not ... but if you like .. you can... if you have more margin to use and your account is FAT.

may be

may be not

do not jump to the conclussions before testing it .

rule number 5

THIS IS NOT GRID SYSTEM

THIS IS NOT RECOVERY ZONE SYSTEM
THIS IS NOT BOX TRADING SYSTEM ( but it says box some where in the ea... it is just a call title )
it is not fancey complex system

it is simply OsMA ... we daily see it... and we do not know how to use it...

my job is to explain here how to make some profit ,, again i do not force anyone to use it...

rule number 6

do not use levels in the osma, only zero level