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MADdash (Moving Average Distance)

  • #3,201
  • Jan 12, 2021 9:12am Jan 12, 2021 9:12am
My bad, I misread some of that, I retract the last few posts I made. I now acknowledge you did answer his question in the first word of your reply, but it is inaccurate to say that two questions were asked - they were not. But you were not overall wrong to also give them that information about the expiry.

blam

Quoting Shabs19
{quote} Question was answered fully, stop Nitpicking.
  • #3,202
  • Jan 23, 2021 8:34pm Jan 23, 2021 8:34pm
Quoting honestknave
Version: 1.38 Expiry: N/A (or technically somewhere around 68 years from now...) Wishing success to all! {file}
Thanks once again my man. Would it be possible to add an option to manually add other pairs in future versions? I would love to be able to add some exotic currency pairs, cryptocurrency pairs like LTC/USD, and others like US30 and Gold.
  • #3,203
  • Jan 24, 2021 3:37pm Jan 24, 2021 3:37pm
Quoting Will777iam
{quote} Thanks once again my man. Would it be possible to add an option to manually add other pairs in future versions? I would love to be able to add some exotic currency pairs, cryptocurrency pairs like LTC/USD, and others like US30 and Gold.
Will, no one has ever been able to answer this question, I hope you can clear it up for me?

Is XAUUSD a "pair"?

What is XAU and what is USD?

Because I'm pretty sure GOLD is a commodity and the value is in USD, so how is the "strength" measured?

What do you compare it with? Mathematically speaking, of course, programmers need numbers to work with.

Patiently waiting
It takes a lot for me to IGNORE you, but you can try.
  • #3,204
  • Jan 30, 2021 4:27am Jan 30, 2021 4:27am
Quoting Erebus
{quote} Will, no one has ever been able to answer this question, I hope you can clear it up for me? Is XAUUSD a "pair"? What is XAU and what is USD? Because I'm pretty sure GOLD is a commodity and the value is in USD, so how is the "strength" measured? What do you compare it with? Mathematically speaking, of course, programmers need numbers to work with. Patiently waiting
Gold is a commodity and can be treated as a currency at the same time.

What we need to involve it into an indi is its price in other currencies: AUD, NZD, GBP, CH, Y.

The same in the case of cryptos - we need their prices in different currencies as above.

Or in case we don't have and one or two is missing - we can use "something similar" as a proxy - some time ago EUR and GBP were similar for example and we can use them interchangeably (more or less).

EDIT: I think we can do the same with other commodities that have prices in different currencies: silver, oil etc, etc.

But not with indices - as far as I know S&P500 has price only in dollars, DAX only in euro etc. In this case (indices and strong or the strongest moves can be used a different indi - from this thread I suppose (with modification I think): https://www.forexfactory.com/thread/...simple-as-abcd
  • #3,205
  • Jan 30, 2021 4:37am Jan 30, 2021 4:37am
Quoting Fred-IV
{quote} Gold is a commodity and can be treated as a currency at the same time. What we need to involve it into an indi is its price in other currencies: AUD, NZD, GBP, CH, Y. The same in the case of cryptos - we need their prices in different currencies as above. Or in case we don't have and one or two is missing - we can use "something similar" as a proxy - some time ago EUR and GBP were similar for example and we can use them interchangeably (more or less).
Well, my opinion is, if this was really needed or could be done, surely it would have been done by now.

And using the price of Gold in 2 or more currency?

Think about it, what are you really comparing?

Yes, 2 currencies, same as if you looked at them as a PAIR of currencies, nothing to do with the strength of Gold.

Good luck
It takes a lot for me to IGNORE you, but you can try.
  • #3,206
  • Jan 30, 2021 5:00am Jan 30, 2021 5:00am
Quoting Erebus
{quote} Well, my opinion is, if this was really needed or could be done, surely it would have been done by now. And using the price of Gold in 2 or more currency? Think about it, what are you really comparing? Yes, 2 currencies, same as if you looked at them as a PAIR of currencies, nothing to do with the strength of Gold. Good luck
It will be easier to swallow if you think about gold as something easier historically measurable - gold coins.

Gold bullion - you can use as a currency too, one of the primary currencies. Silver, oil, even cigarettes and moonshine were/are used in different countries as currency too. Strength has a mathematical sense in MADDASH and if "price" of something in different currencies exists it can be compared. The question is if this something is tradable.
  • #3,207
  • Jan 30, 2021 2:10pm Jan 30, 2021 2:10pm
Quoting Fred-IV
{quote} It will be easier to swallow if you think about gold as something easier historically measurable - gold coins. Gold bullion - you can use as a currency too, one of the primary currencies. Silver, oil, even cigarettes and moonshine were/are used in different countries as currency too. Strength has a mathematical sense in MADDASH and if "price" of something in different currencies exists it can be compared. The question is if this something is tradable.
I'll give you this; then, IT'S your turn to find a much better argument to support your "theories"

SOURCE: https://www.kitco.com/kitco-gold-index.html

When the US Dollar gets stronger, it takes fewer dollars to buy any commodity that is priced in $USD. When the US Dollar gets weaker it takes more dollars to purchase the same commodity.

The price of all US Dollar-denominated commodities, like gold, will change to reflect the fact that it will take fewer or more dollars to buy that commodity. So it’s quite possible, in fact, it’s almost always the case that a portion of the change in the price of gold is really just a reflection of a change in the value of the US Dollar. Sometimes that portion is insignificant. But often the opposite is true where the entire change in the gold price is simply a mathematical recalculation of an ever-changing US Dollar value.

When the dollar gets strong, gold appears to go down, and vice versa. That accounts for part of the fluctuations that we see in the value of gold.

The other part is an actual increase in the supply or demand for gold. If the price is higher when being measured not only in US Dollars, but also in Euros, Pounds Sterling, Japanese Yen, and every other major currency, then we know the gold demand is higher and it has actually increased in value.

Consequently, if gold is higher in US Dollars while at the same time cheaper in every other currency, then we can conclude that the US Dollar has weakened and that gold has actually lost value in all other currencies. But the price, because it is being quoted in $USD will be higher and give the illusion of gold becoming more valuable. In such a case the devaluation of gold, due to increased supply on the market, is camouflaged by a weakened US Dollar.

Our feature on kitco.com breaks the change of the price of gold into 2 components. One part shows you how much of that change can be attributed to US Dollar strength or lack of it. The other portion is indicative of how much the price changed as a result of normal trading. Interestingly whatever changes happen to the price of gold as a result of US Dollar strength/weakness also occurs to every other US Dollar denominated commodity by the exact same proportion.
It takes a lot for me to IGNORE you, but you can try.
  • #3,208
  • Edited Jan 31, 2021 12:01am Jan 30, 2021 11:47pm | Edited Jan 31, 2021 12:01am
Quoting Erebus
{quote} I'll give you this; then, IT'S your turn to find a much better argument to support your "theories"
First you must find someone who cares, me don't.

Quoting Erebus
{quote} SOURCE: https://www.kitco.com/kitco-gold-index.html When the US Dollar gets stronger, it takes fewer dollars to buy any commodity that is priced in $USD. When the US Dollar gets weaker it takes more dollars to purchase the same commodity. The price of all US Dollar-denominated commodities, like gold, will change to reflect the fact that it will take fewer or more dollars to buy that commodity. So it’s quite possible, in fact, it’s almost always the case that a portion of the change in the price of gold is really just a reflection...
They don't understand what is the difference of strength between currencies (and commodities in this case).

Quoting Erebus
{quote}Consequently, if gold is higher in US Dollars while at the same time cheaper in every other currency, then we can conclude that the US Dollar has weakened and that gold has actually lost value in all other currencies. But the price, because it is being quoted in $USD will be higher and give the illusion of gold becoming more valuable. In such a case the devaluation of gold, due to increased supply on the market, is camouflaged by a weakened US Dollar. Our feature on kitco.com breaks the change of the price of gold into 2 components....
They don't understand what is the difference of strength between currencies (and commodities).
  • #3,209
  • Feb 10, 2021 9:40am Feb 10, 2021 9:40am
The default settings for the MA's is 37. Any logic behind it. Also what MA's most of you guys use with different timeframes like M15, H1, H4 and Daily/ Weekly.
I changed it to MA 200 and alot of false signals and pips. Any idea guys ?.

Thank you.
  • #3,210
  • Feb 24, 2021 3:28am Feb 24, 2021 3:28am
there is no display in CAD and NZD. please help me for the proper set up
Attached Image

  • #3,211
  • Feb 24, 2021 5:27am Feb 24, 2021 5:27am
Quoting markodimen39
there is no display in CAD and NZD. please help me for the proper set up {image}
1. Press Ctrl + T check to see if MaDash loaded successfully
2. Open market watch, check all 28 pairs are listed.
3. Press F2 check to see if all history is loaded for all 28 pairs.
4. If not use a ForceAllHistory indicator to load all data.

https://www.forexfactory.com/thread/...45#post8377145

For other issues:
https://www.forexfactory.com/thread/...53#post8416753
It never gets easier, you just get better
  • #3,212
  • Feb 24, 2021 6:40am Feb 24, 2021 6:40am
Quoting markodimen39
there is no display in CAD and NZD. please help me for the proper set up {image}
let the computer run one or two hours for the data to load.
ITB - Seeing Orderliness amongst 'Randomness'
  • #3,213
  • Mar 8, 2021 3:43am Mar 8, 2021 3:43am
I would like to share with you a very simple MADdash observation that saved me from many losing trades. It might seem stupid at first because of its simplicity, but it has worked for me for a long time and it might be useful to others.

It’s based on the principle that you want to trade with the trend and only when there is a lot of liquidity in the market. If we are focused on one or two pairs, it’s difficult to determine when our pair/s have enough momentum to sustain the movement, but when we look at the market as a whole, it is MUCH easier to notice when big money enters the market. As we all know, in one indicator, MADdash contains all the data of the whole forex market (majors/minors), so all the information is in front of us to read.

As a trend trader, a good time for me to enter the market is when lower TF charts start aligning with their respective higher TF’s. But, THE BEST TIME for me to enter is when the whole market (the majority of the 28 pairs) starts aligning (collectively) lower TF’s with HTF’s.

MADdash shows us the best moments to enter with the simple “Constant row color” alert. This simple alert basically just tells us that various pairs are aligning in all TF’s. When there are only a few alerts, the whole market is “out of sync” or ranging. When there are lots of pairs under the alert, the market is returning to the trend and chances of success are increased dramatically.

How do I use it? This is unfortunately the sad part. As handy as this tool is, it’s difficult to read. You have to actually count the number of pairs. Yes, I actually count them and wait until there are between 16-18 pairs trending before I enter the market. To work around this problem, I’ve manually put some text labels on the MADdash screen to read the number of signals almost like a thermometer. I’ve attached the template if someone is interested. (Yes, it will obviously be easy to code a little box that gives you the number of signals at any given time, but I am no coder and my manual workaround does the job nicely).

Regarding the MADdash settings, I use 20EMA’s on all TF’s except for D1 where I use the 10EMA – I use these common settings simply because many day-traders use them in their decision making.

Few signals = Ranging, or low liquidity
Attached Image (click to enlarge)
Click to Enlarge Name: MADdash_Few.png Size: 127 KB


More signals = more liquidity
Attached Image (click to enlarge)
Click to Enlarge Name: MADdash_More.png Size: 141 KB


16-18 Signals = buy zone
Attached Image (click to enlarge)
Click to Enlarge Name: MADdash_Buy-zone.png Size: 137 KB


Cooking... be careful
Attached Image (click to enlarge)
Click to Enlarge Name: MADdash_Coocking.png Size: 135 KB


There is another option when using these MADdash signals as a gauge. Since I’m using EAX to enter the market, I recently started to set my EA to auto-trade when there are almost no signals from MADdash at all. This allows the EA to open trades and build them up (multiple trades on strongly trending pairs) as the MADdash signals start returning when the market starts trending again.

Thus, the power of using these constant row color alerts is not necessarily in the pairs to trade, but more in using it as a strength/momentum/liquidity meter for timing the whole market.

Hope this helps someone.

PS: Please share your MADdash observations also. We can all learn from each other.

Cheers

Lee

Attached File(s)
File Type: tpl MADdash_w_Markers.tpl   329 KB | 1,141 downloads
Fix your thoughts on what is true, and honorable, and right, and pure...
  • #3,214
  • Mar 8, 2021 7:41am Mar 8, 2021 7:41am
Quoting LifeHunt3r
Hope this helps someone. PS: Please share your MADdash observations also. We can all learn from each other. Cheers Lee {file}
Hi Lee, I've tweaked my MIG pin to work like a sluice gate and block all signals until a minimum number is reached. Might be of use. Jagz
Always read Post #1
  • #3,215
  • Mar 8, 2021 10:04am Mar 8, 2021 10:04am
Quoting jagzuk
{quote} Hi Lee, I've tweaked my MIG pin to work like a sluice gate...
Thnx Jagz, will check it out.
Fix your thoughts on what is true, and honorable, and right, and pure...
  • #3,216
  • Mar 22, 2021 12:05pm Mar 22, 2021 12:05pm
I suppose you all have seen this but I thought I would screen shot the TF's here with the 37 smooth Typical all lined up at the most relative time. Is this what is desired then ? Because at this point in time, at least, almost all are in the relative same refence points to the MA on each TF. Adjusting MA's for time shift and I will try to locate some polarization correlation. Please Ideas?
Attached Image (click to enlarge)
Click to Enlarge Name: 8a64afffc41f75de099103b5eff46dea.png Size: 153 KB
Enjoy it while it lasts, then pay for it. Be Grateful.
  • #3,217
  • Mar 26, 2021 2:55am Mar 26, 2021 2:55am
Hi, thanks for your explanation, but i have a question: i noted that, OFTEN, when the pairs hit the target of >16, it endures only few seconds and in a few time it returns to the <16 levels. Only sometime it endures for a longer time in the >16 level and its the REAL profitabble trade, if one can recognize it!
HOW DO YOU DISTINGUE the real profitabble trades from the fake ones? Thank you

Quoting LifeHunt3r
I would like to share with you a very simple MADdash observation that saved me from many losing trades. It might seem stupid at first because of its simplicity, but it has worked for me for a long time and it might be useful to others. It’s based on the principle that you want to trade with the trend and only when there is a lot of liquidity in the market. If we are focused on one or two pairs, it’s difficult to determine when our pair/s have enough momentum to sustain the movement, but when we look at the market as a whole, it is MUCH easier to...
  • #3,218
  • Mar 26, 2021 4:09am Mar 26, 2021 4:09am
Quoting rav5612
HOW DO YOU DISTINGUE the real profitabble trades from the fake ones? Thank you {quote}
Hi Rav,

I simply use it as a tool to gauge market interest in the trend. For example, if you see many signals shortly after London open, its an indication that the current trend is continuing. Your observation is correct that it might only last a short time - if the trend lasted indefinitely, both you and I would be millionaires. . I'm a basket trader and I'm only in the market for short periods of time, so 16 pairs works for me, but you might use a lower number of signals to enter. Test and see what works for you. If you are a higher TF trader, remove M1 and M5 from MADdash and use M15-D1 - same effect, just slower to change. Also, observe when there are NO signals coming from MADdash (counter-trend, or just no liquidity) and see how the signals build up again. Observe your pairs at the same time and see if they move with the trend.

Cheers,

Lee
Fix your thoughts on what is true, and honorable, and right, and pure...
  • #3,219
  • Apr 8, 2021 9:44am Apr 8, 2021 9:44am
Quoting jacem
Hi, First of all, thanks to 919gilead for inventing MADdash and honestknave for programming! It has occurred to me earlier that past data should also be displayed, and I read a request to that effect here in the forum the other day. In a couple of weeks, a solution was born, as I think. Some settings verbally (others attached as images): - MA_period, MA_price, MA_method I think is clear, - Threshold: currency strength is in the range of 0-7....
Thank you Jacem. Any chance the rows could be re-arranged similarly to the picture? So the the 3 TFs can be visually compared in real time (easier for the brain to work it out, I believe). Hoping this post will reach you as I see you were last logged in in October last year...
Attached Image (click to enlarge)
Click to Enlarge Name: 2021-04-08_16-58-45.jpg Size: 260 KB
  • #3,220
  • Apr 15, 2021 5:28pm Apr 15, 2021 5:28pm
Quoting LifeHunt3r
I would like to share with you a very simple MADdash observation that saved me from many losing trades. It might seem stupid at first because of its simplicity, but it has worked for me for a long time and it might be useful to others. It’s based on the principle that you want to trade with the trend and only when there is a lot of liquidity in the market. If we are focused on one or two pairs, it’s difficult to determine when our pair/s have enough momentum to sustain the movement, but when we look at the market as a whole, it is MUCH easier to...
Thanks @LifeHunt3r,
Great explanation, but I could not understand, when there is a 16-18 signal=Buy zone, why not sell zone? Buy Zone for what? because at the same time other currencies pair are in the sell zone.
Similarly.. please explain the cooking zone? Thanks
Warm Regards,
Watch market as a layman, Do have a opposit trade what ur mind suggest ;-)
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