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  • #6,761
  • Sep 15, 2019 10:17am Sep 15, 2019 10:17am
Quoting le celte
{quote} Speaking of BDX settings for each pair and TF cheers jf
@lecelte -- I still don't understand. There are NO BDX settings for each pair and TF. The same BDX settings are used for ALL pairs. Some people trade H1 and use 50% ADR.
  • #6,762
  • Sep 15, 2019 10:26am Sep 15, 2019 10:26am
Quoting nigpig
The problem of deciding when a TMA extream will turn the other way is not an easy one to crack with conventional indicators. If you were to drop down to a lower time frame and look at the bars forming, you can see (for a new bull trend) the bottoms finding support that are the tops of resistance a few bars back. You dont find this when the original trend is bumping on down and not reversing yet. I dont know if that helps or pointing out the obvious. It is someting I'm developing (an indicator based on price action) for this situation.
Hello @nigpig -- yes, this helps -- thanks.

Let's wait to see how the new CC Exit works. There is a particular type of setup in H1 that is sometimes problematical -- an extreme, shortly followed by another extreme. This is different than a waterfall. In my hands CC does a good job of handling this. I'm NOT using it as a filter -- rather, if the market signals a reversal, and actually reverts a little bit but then changes its mind. The CC will detect this and close the trade -- hopefully for a small gain or, at worst, for a small loss. The idea is to lower the probability of ever hitting a SL. Because the market actually does revert a few bars before heading back in the original direction (still above or below the ADR band) then I don't think it will be necessary to drop-down to a lower time frame.

I haven't forgotten the nice job you did with the TMA slope indicator. I'll be curious to learn more about your new indicator.
  • #6,763
  • Sep 15, 2019 11:04am Sep 15, 2019 11:04am
Quoting le celte
How I filter on H1 or manually on M15 : The Crossing of a LWMA with the central blue line of R4M. On M1 I noticed that it repaints a little this crossing. (R4M repaints a little) Maybe it’s a good filter. Try it .... Cheers Have a look please, it's the same graphe GU / Robot4me EDIT : Another thing you can do to filter is : place an order buy or sell stop a few pips (at least 5 for H1) above/below the previous candle It's very effective ! {image}


Yes le celte. I think thats pretty good. When taking half of the period of R4M`s midline, i took 33, its not only good filter, but gives a clue when to exit. Sooner or later it will cross its midline and than run at least half the way up/down. So that could be a exit method too. Mostly better than hard SL or a loss. I think that was what Hurst did. The difference was he took two centered SMA`s. That way he could exactly predict the turning point. I`ve been experimenting with this manually for some time.

Just some ideas. Have phun!

Cheers,
Klausi


Edit: attaches some reading
Attached File(s)
File Type: pdf viewhurst.pdf   425 KB | 755 downloads
Stick to the plan!
  • #6,764
  • Sep 15, 2019 1:06pm Sep 15, 2019 1:06pm
Quoting le celte
How I filter on H1 or manually on M15 : The Crossing of a LWMA with the central blue line of R4M. On M1 I noticed that it repaints a little this crossing. (R4M repaints a little) Maybe it’s a good filter. Try it .... Cheers Have a look please, it's the same graphe GU / Robot4me EDIT : Another thing you can do to filter is : place an order buy or sell stop a few pips (at least 5 for H1) above/below the previous candle It's very effective ! {image}
Quoting Klausi
{quote} Yes le celte. I think thats pretty good. When taking half of the period of R4M`s midline, i took 33, its not only good filter, but gives a clue when to exit. Sooner or later it will cross its midline and than run at least half the way up/down. So that could be a exit method too. Mostly better than hard SL or a loss. I think that was what Hurst did. The difference was he took two centered SMA`s. That way he could exactly predict the turning point. I`ve been experimenting with this manually for some time. Just some ideas. Have phun! Cheers,...
@lecelte, @Klausi -- I don't mind (too much) that you guys discuss ways of changing the logic or adding rules that would ignore certain extreme prices based on a MA indicator. But @lecelte didn't even specify what period or price_mode to use. I'm not even sure he realizes that the chart he displayed is meaningless because he neglected to specify the period and price-mode. Or, maybe he thinks ANY moving average indicator and settings would do the trick. I don't know.

But what is particularly odd to me is that even though I responded that using an MA introduces trend-following (because it only allows trades that align with the MA's trend) and even though I took the time to upload a chart showing that @lecelte's MA doesn't work -- you guys totally ignore that. Since you both seem to have taken a similar path then I understand the desire to really, really BELIEVE you've found something unique is very, very strong. But if I bother to take the time to point out that (a) this is no longer BDX, and (b) it doesn't work -- then how about not completely ignoring me as if I'm not familiar with BDX. I'm just trying to help you guys from going down a newbie path. But if you can't or won't respond to my objections then I will grow weary attempting to post.
  • #6,765
  • Sep 15, 2019 1:47pm Sep 15, 2019 1:47pm
Quoting robots4me
{quote} {quote} @lecelte, @Klausi -- I don't mind (too much) that you guys discuss ways of changing the logic or adding rules that would ignore certain extreme prices based on a MA indicator. But @lecelte didn't even specify what period or price_mode to use. I'm not even sure he realizes that the chart he displayed is meaningless because he neglected to specify the period and price-mode. Or, maybe he thinks ANY moving average indicator and settings would do the trick. I don't know. But what is particularly odd to me is that even though I responded...
Agreed. It must be so tiring for you.

While there Is nothing inherently wrong in looking at other ways of utilising a method's hardware, the original thread is not the place to do so.

If someone wants to do this - with the indicator owner's permission of course - they should do so on a separate thread, with the relevant acknowledgements.
  • #6,766
  • Sep 15, 2019 1:50pm Sep 15, 2019 1:50pm
Sorry R4M.
Did not mean to ignore you or change anything for no good.


Adding this LWMMA or a center MA with half the period of the centerline hast nothing to do with trendtrading, it just helps to filter out early entries and can show also exits.

That is nothing new or unique and is used by cycle traders for decades.

Anyway wishing you guys luck, especially with the 50% or less settings.

Im out here.

Greets,

Klausi
Stick to the plan!
  • #6,767
  • Edited 3:53pm Sep 15, 2019 2:01pm | Edited 3:53pm
Quoting Klausi
Sorry R4M. Did not mean to ignore you or change anything for no good. Adding this LWMMA or a center MA with half the period of the centerline hast nothing to do with trendtrading, it just helps to filter out early entries and can show also exits. That is nothing new or unique and is used by cycle traders for decades. Anyway wishing you guys luck, especially with the 50% or less settings. Im out here. Greets, Klausi
@Klausi -- thanks for your response.

Quote
That is nothing new or unique and is used by cycle traders for decades.
@Klausi -- exactly my point. BDX is not a "cycle trading" strategy. BDX is a reversal strategy. If you are attached to cycle trading then BDX is not the strategy for you, since you corrupt it by adding things like LWMA crossings.

Adding the LWMA **does** have everything to do with trend-following. Yes -- you can call it a "filter" -- but it is a trend-following filter. It restricts signals to only those that align with its trend. I posted a chart that shows the LWMA ignoring a perfectly good BUY signal because the MA was still trending bearish. Did you look at the chart I posted? If not, please do. And please explain to me how the LWMA is not enforcing trend-following on a strategy that is intended to only respond to extreme prices?

@Klausi -- please don't take this personally. I know you have always been supportive. I'm simply using your post to respond to others who are probably thinking along the same lines as you but don't post. I can choose almost any indicator from 1000's, attach it to a chart, apply some arbitrary settings, and scan for scenarios where it would create a winner when BDX had a loser. But don't you see that is "cherry-picking"? Furthermore, @lecelte didn't even post what MA settings to use -- don't you think those would make a difference? This is newbie stuff where we throw food at the wall and if something sticks then we believe we've solved the Holy Grail. We've all gone through this -- some longer than others. It's okay to consider ways to improve BDX -- and, in fact, @Viktory recently made an important contribution -- but if you are going to post it then definitely make sure you can back it up with evidence and some testing. Otherwise you perpetuate the spread of misinformation and condone posting BS. @lecelte is a nice fellow and I know he is supportive, but an idea popped into his head and he took advantage of posting it here because he knows a lot of people will see it. He is more concerned with getting some attention rather than doing the necessary homework to post something of value. At first I pushed back on @Viktory's suggestion -- but then it became clear he had done his homework and then that allowed me to relax and look at it more critically.
  • #6,768
  • Sep 15, 2019 2:28pm Sep 15, 2019 2:28pm
Quoting robots4me
{quote} @Klausi -- thanks for your response. However, adding the LWMA **does** have everything to do with trend-following. Yes -- you can call it a "filter" -- but it is a trend-following filter. It restricts signals to only those that align with its trend. I posted a chart that shows the LWMA ignoring a perfectly good BUY signal because the MA was still trending bearish. Did you look at the chart I posted? If not, please do. And please explain to me how the LWMA is not enforcing trend-following on a strategy that is intended to only respond to...

@robots4me i looked at the chart you posted and yes it "filtered" out a good setup. But whats better a non taken good setup or a taken loser? Im not 100% sure what enforcing trend following mean, but the LWMA doesnt make this reversal strategy a trend following. It just delays and confirms the cycle low/high. Would you call Davits pivot trading turned into a trendfollowing when a 5 shifted 2 MA is added for confirmation? Or a flying buddah strategy?
In the original hurst "concept" where two displaced averages are used one can predict price and time of the cycle. When the two MA`s cross measure the low before the cross. Mostly price will travel now to this value in upcoming top. Same you can do with time periods. Thats written in my attachement above.


So in this BDX case it would just show you that the cycle isnt ready to be taken. On the same time one can be confident after taking the trade to stay until the cross, Thats all. No trendtrading. And just a idea what maybe can help.


Edit: just read the update

No problemo R4M, im fan of clear words, Thats part of a good thread.

See ya.

Edit 2: I would call a ADR reversal strategy cycle trading. Maybe this is wrong, but the above written by me works also for reversal than. ^^

Klausi
Stick to the plan!
  • #6,769
  • Sep 15, 2019 2:34pm Sep 15, 2019 2:34pm
Quoting Klausi
{quote} @robots4me i looked at the chart you posted and yes it "filtered" out a good setup. But whats better a non taken good setup or a taken loser? Im not 100% sure what enforcing trend following mean, but the LWMA doesnt make this reversal strategy a trend following. It just delays and confirms the cycle low/high. Would you call Davits pivot trading turned into a trendfollowing when a 5 shifted 2 MA is added for confirmation? Or a flying buddah strategy? In the original hurst "concept" where two displaced averages are used one can predict price...
Quote
So in this BDX case it would just show you that the cycle isnt ready to be taken.
@Klausi -- you're a nice fellow and and I'm sure a good trader. But I've hit a wall -- if you are intent on forcing every strategy to fit a "cycle" then we'd just be going 'round and 'round.
  • #6,770
  • Sep 15, 2019 2:45pm Sep 15, 2019 2:45pm
R4M. Last thing i would like to do forcing something or going round by round. Or being rude in such a great thread.





Wishing you a good new Week. And many green pips.

bye
Klausi
Stick to the plan!
  • #6,771
  • Sep 15, 2019 5:12pm Sep 15, 2019 5:12pm
Robots4me is right,ive seen posting of le celte before and the guy is 100% genuine, he wants to help people but at the end of the day it is'throwing food at the wall and hoping it sticks' nothing has been proved, it only hurts this thread at the end of the day...
  • #6,772
  • Sep 15, 2019 8:35pm Sep 15, 2019 8:35pm
I've just now updated the software for the BDX strategy...

R4M-BDX-ADR.ex4 -- this is the indicator work horse. The EA's get their signals from the indicator.
R4M-BDX-DashboardEA.ex4 -- dashboard EA for manual trading
R4M-BDX-EA.ex4 -- single pair, auto-trading EA
R4M-BDX-AllPairs.ex4 -- multi-pair, auto-trading EA

I've uploaded new versions of the BDX software -- one indicator and 3 Expert Advisors. This is now version "2.00.19259". The software can be downloaded from the other thread -- "Custom Indicators for TMA-ADR Reversal Trading and BBMA" (https://www.forexfactory.com/showthread.php?t=920925). All indicators are bundled in a single *.zip file. Indicators must be installed under MT4's 'Indicators' folder and EAs must be installed under the 'Experts' folder. To avoid version skews, please make sure that all indicators and EAs come from the same *.zip file.

Changes:

* As I had written in post #6735 (https://www.forexfactory.com/showthread.php?p=12502338#post12502338) this latest version changes one of the Exit signals -- I've substituted Consecutive Candles in place of HMA transitions. Everything else remains the same. If you are trading H4 / 100% ADR then I'm not sure of the benefit, but if you are trading H1 / 50% ADR then I think it offers a nice improvement. And we can thank @Viktory because he was persistent in pushing for this change.

Below is a screen shot of what I think leads to problematical trades in H1 / 50% ADR:
Attached Image (click to enlarge)
Click to Enlarge Name: CC-Exits.png Size: 59 KB


You can see the two HA Entry signals the arrows point to. The EA does the right thing and opens BUY trades. Unfortunately these will hit the SL. Several bars later, still below the lower ADR band, there is another Entry signal that is a true winner. So, here we have a "cluster" of Entry signals. The market fools us by pretending to reach an extreme price (the first two signals) and, so, we open BUY trades. But then, rather than reverting, it continues downward.

If you had been trading H4 / 100% ADR this problem would not have occurred -- as shown in the screen shot below:
Attached Image (click to enlarge)
Click to Enlarge Name: H4-no-CC-Exit.png Size: 30 KB


It turns out the CC (Consecutive Candles) indicator which we can (optionally) use for Entries can also provide Exit signals that protect us from ever reaching a SL. So, as the first screen shot shows, shortly after the first couple of Entry signals, the CC indicator detects the price will continue downward -- and, so, its Exit signal will now close the first two trades (perhaps for a small gain).

Not only does the CC Exit "thin-out" the Entries, it usually seems to do the right thing in terms of closing Entries that go in the wrong direction. Since we use a large SL then some of those "bad" Entries will eventually turn around and become winners. However, since our Risk:Reward is rather large then we need to maintain a high WinRatio and can't afford to hit too many SL's.

To be clear -- the Consecutive Candles indicator is not used as a filter -- it is a signal generator. As such, it can not prevent the opening of potentially losing positions -- rather, its signal is used to close a potentially damaging trade with either a smallish gain or, at worst, a small loss. Definitely much better than allowing the trade to reach SL.

I may have mentioned once or twice before () that everything comes with a trade-off. In this case the trade-off is that CC Exits will occasionally prematurely terminate trades that would eventually turn out to be winners (due to our large SL) -- however, it looks to me like the protection it offers more than offsets that downside.


NOTE: To those for whom the trade-off is not worth it and who do not want to miss potentially winning trades then you should NOT install this latest version. The only difference between this latest version and the previous one is the use of CC Exits.
  • #6,773
  • Sep 16, 2019 8:08am Sep 16, 2019 8:08am
@R4M

It looks like my GCAD trade did not close via the CC exits.

Attached Image (click to enlarge)
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Attached Image (click to enlarge)
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Attached Image (click to enlarge)
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Everything else is working great.
EX BBMA trader focusing on REE code.
  • #6,774
  • Sep 16, 2019 8:42am Sep 16, 2019 8:42am
R4M & BD,
Thanks once again for your work and for sharing.
Maybe I am doing something wrong, or there is a problem with Magic Number management.
I have run the single EA on different pairs. As a quick reference I assigned the following numeric codes to each currency:
USD = 11, EUR = 22, GBP = 33, JPY = 44, CAD = 55, etc.
So the magic number in comment should show xx2211yy for EURUSD trades.
But comments show xx1111yy for all trades by the EA on any single pairs.
This is NOT ALLPAIRS. Only single pair EA.
So when there is a close signal on one pair with magic number xx1111yy, all/many trades seem to get closed. Trades aren't getting closed according to the rules.
Thank you,
John
Attached Image (click to enlarge)
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Perfidious Pips
  • #6,775
  • Sep 16, 2019 8:53am Sep 16, 2019 8:53am
Quoting northwind
R4M & BD, Thanks once again for your work and for sharing. Maybe I am doing something wrong, or there is a problem with Magic Number management. I have run the single EA on different pairs. As a quick reference I assigned the following numeric codes to each currency: USD = 11, EUR = 22, GBP = 33, JPY = 44, CAD = 55, etc. So the magic number in comment should show xx2211yy for EURUSD trades. But comments show xx1111yy for all trades by the EA on any single pairs. This is NOT ALLPAIRS. Only single pair EA. So when there is a close signal on one pair...
How did you assign the codes USD = 11, EUR = 22, GBP = 33, JPY = 44, CAD = 55?

I don't know of any setting in the EA that allows you to assign codes to individual currencies. You can only assign group magic number

Attached Image (click to enlarge)
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  • #6,776
  • Edited 9:17am Sep 16, 2019 8:55am | Edited 9:17am
Quoting Simontw
@R4M It looks like my GCAD trade did not close via the CC exits. {image} {image} {image} Everything else is working great.
@Simontw -- thanks for the report. So the BDX indicator generates the signal, but the AllPairs EA shows that it is still open. What about the trading log -- what do you see under the 'Trade' and 'Account History' tabs?

I'm now looking into this problem. If other people have more information or similar observations then please let me know.

@Simontw -- I am also curious why you are running both the R4M-ConsecutiveCandles and R4M-BDX-ADR at the same time. Is it to confirm they detect the same Exits?

EDIT: The AllPairs EA shows the number of trades open for each pair -- regardless of their Magic Number. So, if a trade was opened either manually or by another EA then that would be counted. The best way to confirm that trades are being properly opened and closed by AllPairs is using the 'Trade' and 'Account History' tabs.
  • #6,777
  • Sep 16, 2019 9:03am Sep 16, 2019 9:03am
Quoting northwind
R4M & BD, Thanks once again for your work and for sharing. Maybe I am doing something wrong, or there is a problem with Magic Number management. I have run the single EA on different pairs. As a quick reference I assigned the following numeric codes to each currency: USD = 11, EUR = 22, GBP = 33, JPY = 44, CAD = 55, etc. So the magic number in comment should show xx2211yy for EURUSD trades. But comments show xx1111yy for all trades by the EA on any single pairs. This is NOT ALLPAIRS. Only single pair EA. So when there is a close signal on one pair...
@northwind -- The setting says "4-digit group ID [1000-9999]". There are a couple of problems with the numbers you chose:

1. They are not 4-digits and do not fall in the range [1000,9999].

2. The default Group ID for the single-trading EA is '1111'. So, '1111' will be replaced with your 4-digit group ID.

3. You can not assign numbers for each currency -- the EA is responsible for composing that portion of the Magic Number.
  • #6,778
  • Sep 16, 2019 9:17am Sep 16, 2019 9:17am
Quoting robots4me
{quote} @Simontw -- thanks for the report. So the BDX indicator generates the signal, but the AllPairs EA shows that it is still open. What about the trading log -- what do you see under the 'Trade' and 'Account History' tabs? I'm now looking into this problem. If other people have more information or similar observations then please let me know. @Simontw -- I am also curious why you are running both the R4M-ConsecutiveCandles and R4M-BDX-ADR at the same time. Is it to confirm they detect the same Exits?

Thanks. yes still open.

Attached Image (click to enlarge)
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Other indicators on chart as I was double-checking before I posted.
EX BBMA trader focusing on REE code.
  • #6,779
  • Sep 16, 2019 9:29am Sep 16, 2019 9:29am
Quoting Simontw
{quote} Thanks. yes still open. {image} Other indicators on chart as I was double-checking before I posted.
Thanks, @Simontw. Could you also show the MagicNumber.

I just now did some testing with the single-trading EA and CC Exits work. I can not directly test the AllPairs EA -- the best I can do is test M1 on a demo account, which I am currently doing. The single-trading and AllPairs EA use the same code when accessing signals from the BDX indicator.
  • #6,780
  • Sep 16, 2019 9:35am Sep 16, 2019 9:35am
Quoting robots4me
{quote} Thanks, @Simontw. Could you also show the MagicNumber. I just now did some testing with the single-trading EA and CC Exits work. I can not directly test the AllPairs EA -- the best I can do is test M1 on a demo account, which I am currently doing. The single-trading and AllPairs EA use the same code when accessing signals from the BDX indicator.
I closed it manually...so not sure if this is useful:

Attached Image (click to enlarge)
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EX BBMA trader focusing on REE code.
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