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Inside Bar Trading Revisited

  • #141
  • Jan 17, 2009 5:32am Jan 17, 2009 5:32am
Quoting FX fuel
THAKE ALOKK AT THE DIBS TREAD FOR MORE DITELDS ON THE FIRST PAGE :}
I shall take a look at this also, thanks.
  • #142
  • Jan 17, 2009 7:12am Jan 17, 2009 7:12am
***Lurking mode OFF*** LOL!

Hi 1ka

Thank you for all your efforts on this.

I'm sorry that I haven't been able to contribute till now but I've been away for a week (and have to go away again in a week's time). I have been trialing your system on demo on my laptop but keep having to log off between hotel and office. I have now installed your latest version on demo accounts my home computer which runs 24/7.

Below are my thoughts, based on what I'm doing on my live account:



Personally, I think that you should stick to the simple premis that you started off with, without any filters.

These are my observations:

99% of breakouts of IB's will hit 100% extension (2.0 and -1.0 on the MT4 fib tool)

Edit your MT4 fib tool to show 0, 1.0, 2.0 and -1.0 levels and then try it on EURUSD. Bloody awesome! (Of course, there are cr@p days like 15 Jan).


50% of breakouts of IB's will hit 350% extension (4.5 and -3.5).

99% of the first M30 IB of an Alpari Day will hit 350% extension (though sometimes via the scenic route!).

Works on any pair. Works on M30, H1 and Daily.

I think that it's worth testing your EA to just trade the breakout of the IB (not the previous OB, which it does at the moment). If you put that on, say, eight pairs, you will always have a couple of trades running so you won't get bored!



Just my 2p. Thanks again.
  • #143
  • Edited 7:32am Jan 17, 2009 7:28am | Edited 7:32am
Quoting sledgehammer
Just my 2p. Thanks again.
(Converts to cents, adds to total and now has roughly 4 cents, yay!)

If two people suggest the same thing in the space of a day then there must be something in it. Enough already, I'll test breaking out at the inner bar and not the outer bar.

Quick question though, for you or anto, do you include the inners bars candlestick shadow or just the body when determining the breakout?

I shall also look into your fib suggestion in conjunction with this, though Pippo's MAE needs looking at first to evaluate the best place to stick an SL.

Won't be this weekend though, much too busy.
  • #144
  • Jan 17, 2009 7:44am Jan 17, 2009 7:44am
Quoting 1ka
(Converts to cents, adds to total and now has roughly 4 cents, yay!)

If two people suggest the same thing in the space of a day then there must be something in it. Enough already, I'll test breaking out at the inner bar and not the outer bar.

Quick question though, for you or anto, do you include the inners bars candlestick shadow or just the body when determining the breakout?

I shall also look into your fib suggestion in conjunction with this, though Pippo's MAE needs looking at first to evaluate the best place to stick an SL....

I, through preference, use OHLC bars rather than candles. I use breakout of High and Low.

Long Stop Entry: High + 3 pips + spread. SL is Low minus 3 pips. TP is 100% of IB range.

Short Stop Entry: Low minus 3 pips. SL is High + 3 pips +spread. TP is 100% of IB range.

All the best.
  • #145
  • Edited 10:08am Jan 17, 2009 8:20am | Edited 10:08am
Quoting sledgehammer
I, through preference, use OHLC bars rather than candles. I use breakout of High and Low.

Long Stop Entry: High + 3 pips + spread. SL is Low minus 3 pips. TP is 100% of IB range.

Short Stop Entry: Low minus 3 pips. SL is High + 3 pips +spread. TP is 100% of IB range.

All the best.

Yes, I agree. I use same settings. .....

Food for thought: From PeterCrown's post"Win rate is not the most important factor in finding a good trading method. Profit potential/risk is."

  • #146
  • Edited 10:34am Jan 17, 2009 10:23am | Edited 10:34am
OK, I lied, I did have 5 minutes to make the change so that it would use the inner bar to begin breakout and set SL. I haven't changed TP, it still uses the 1/2 ATR as the first TP.

So, on EURUSD 30M for 2008 we get:

Using IB 1762 trades, 1467 wins (83.3%), profit -7.69, Avg Profit 1.37, Avg Loss -6.83
Using OB 2236 trades, 1711 wins (76.5%), profit -40.03, Avg Profit 1.36, Avg Loss -4.52

Well, we can't make any judgements based upon one timeframe and one currency, so I'll leave that until I get some time to test. If anyone wants to try it, I've attached another version of the EA. Change the parameter UseIBForBreakout to true if you want to test using the inner bar rather than the traditional outer bar.

Cheers.

p.s. It was a quick change, so might be buggy Actually, the fact it has 27% more trades suggests that it's breaking out multiple times for each IB. Let me see if I can fix that.

Hmm, tried an obvious fix and it did reduce the number of trades, we now have 10% more which seems reasonable as we are more likely to break out with a smaller range. New figures and updated EA below:

Using IB 1762 trades, 1467 wins (83.3%), profit -7.69, Avg Profit 1.37, Avg Loss -6.83
Using OB 1942 trades, 1480 wins (76.2%), profit -55.98, Avg Profit 1.38, Avg Loss -4.53
Attached File(s)
File Type: ex4 IBTrader.ex4   14 KB | 380 downloads
  • #147
  • Jan 17, 2009 10:35am Jan 17, 2009 10:35am
The inside bar statistics show that the trades were very rewarding the last 24 bar H1 bars.

http://i43.tinypic.com/v33k1f.gif
  • #148
  • Jan 17, 2009 10:46am Jan 17, 2009 10:46am
Results for Friday.

I was robbed of 13.87. Having stopped the EA it couldn't close 1/2 at 1/2 ATR and never reached TP
Attached File(s)
File Type: zip Statement.htm 2.zip   3 KB | 299 downloads
  • #149
  • Jan 17, 2009 10:49am Jan 17, 2009 10:49am
Quoting brianduffer
The inside bar statistics show that the trades were very rewarding the last 24 bar H1 bars.
Maybe I should try H1 - Was this using a breakout at the outer range of the IB, or the inner range of the IB (as per the discussion in the previous few posts)?

Thanks.

p.s. I see you posted a non-standard chart in Jim's 'pure' IB thread - prepare for some abuse You can post what you like in this thread
  • #150
  • Jan 17, 2009 11:26am Jan 17, 2009 11:26am
Thanks for the revised EA!

I've installed on my three demo platforms - Daily, H1 and M30.

Each platform has these eight pairs:

EURUSD GBPUSD
EURJPY GBPJPY
EURCHF GBPCHF
EURGBP USDJPY

By using separate platforms for different time frames, my pea-sized brain doesn't get confused by all the order lines across the charts and I know which order relates to which time frame.

Well done 1ka!

I'll see how I get on.
  • #151
  • Edited 1:46pm Jan 17, 2009 11:47am | Edited 1:46pm
Quoting sledgehammer
Thanks for the revised EA!

I've installed on my three demo platforms - Daily, H1 and M30.

Each platform has these eight pairs:
Whilst I think your set up is OK, just be wary of running the EA in the same MetaTrader instance using multi-timeframes on the same currency. It might be a problem for you if you are using the same Demo account across the three platforms. To be safe, make sure they are unique.

The EA checks its magic number for orders against currency, but doesn't include timeframe. If you were to run on EURUSD at 30M and 1H in the same metatrader instance then you would get problems if both ordered. They'd start to get confused about which order was theirs with the possible result that nothing gets modified or closed.

I'll think about a fix for this, there are some easy ones, but maybe not any that can cope with a user ordering on one timeframe and changing to another. Time to ponder...

===

Easiest fix - let the user override the Magic No!
  • #152
  • Edited 2:11pm Jan 17, 2009 1:50pm | Edited 2:11pm
Quoting 1ka
Whilst I think your set up is OK, just be wary of running the EA in the same MetaTrader instance using multi-timeframes on the same currency. It might be a problem for you if you are using the same Demo account across the three platforms. To be safe, make sure they are unique.

The EA checks its magic number for orders against currency, but doesn't include timeframe. If you were to run on EURUSD at 30M and 1H in the same metatrader instance then you would get problems if both ordered. They'd start to get confused about which order was theirs...

Yes, I agree.

I have three unique account numbers, for the three time frame platforms, all in separate folders in C:\Program Files.

Actually, I also have another demo account for mucking about and my live account. I have five Alpari accounts running 24/7. LOL!

Edit:

Good point. When I move the EA to my live account, there will be conflicts with different time frames. Can you add the magic number to the variables?

Sorry, I'm a humble engineer and not a programming wizard.
  • #153
  • Edited 5:47am Jan 18, 2009 5:17am | Edited 5:47am
Quick change to the EA to expose the Magic Number as a parameter.

You shouldn't need to worry about this unless you need to run the multiple EA's on the same currency, on different timeframes in the same account. In this case you just need to change the Magic Number to be something unique.

Magic Numbers can be associated with specific trades. It allows an EA to distinguish between the trades it has placed and other trades.
Attached File(s)
File Type: ex4 IBTrader.ex4   14 KB | 368 downloads
  • #154
  • Jan 18, 2009 10:02am Jan 18, 2009 10:02am
My previous post should read, "...opp end of set-up bar." Also, "...a percetage of the set-up bar." I was distracted.
Vincit qui se vincit.
  • #155
  • Jan 18, 2009 1:11pm Jan 18, 2009 1:11pm
Quoting Abnormalone
Is it possible to add Trade start and Stop time to your EA.
I just finished testing on a 1 hr chart and it seems that trades made during off hours did better than trades made during the higher volume hours.
I used 10:00 to 22:00 FXDD time which I believe is GMT-2.
Spread sheet is attached
Yes, it was something I was planning to do at some point (the list is getting longer and longer )

It might be worth back-testing the EA over a year and collating the results in a spreadsheet, as you've already done. The longer timeframe will average out any anomalies. Another factor could be day of the week, everyone says Fridays are bad trading days, so it'd be nice to see that.

I will probably do this at some point. I already have a way of importing the trades into a database and reporting on various bits. However, if you beat me to it I won't complain
  • #156
  • Jan 18, 2009 1:17pm Jan 18, 2009 1:17pm
Just realized I screwed up that spread sheet and what I said may not have been true. Will back test over longer period of time and experiment with days also.
  • #157
  • Jan 18, 2009 1:44pm Jan 18, 2009 1:44pm
Interesting thread people.
I was wondering when someone would get around to making an EA for the IB system.
Would some kind soul kindly post all current indicators necessary for latest EA to work in a single post, it is confusing looking for different bits all over the place.

Thanks
Starting to see instead of just looking.
  • #158
  • Jan 18, 2009 1:58pm Jan 18, 2009 1:58pm
Quoting 1ka
Quick change to the EA to expose the Magic Number as a parameter.

You shouldn't need to worry about this unless you need to run the multiple EA's on the same currency, on different timeframes in the same account. In this case you just need to change the Magic Number to be something unique.

Magic Numbers can be associated with specific trades. It allows an EA to distinguish between the trades it has placed and other trades.
Thanks!

I'll let you know how I get on.
  • #159
  • Edited 2:26pm Jan 18, 2009 2:23pm | Edited 2:26pm
Quoting Rastaman
Interesting thread people.
I was wondering when someone would get around to making an EA for the IB system.
Would some kind soul kindly post all current indicators necessary for latest EA to work in a single post, it is confusing looking for different bits all over the place.

Thanks
Hi Rastaman,

You only need the EA, it doesn't use indicators, per se. Pick up stuff from here -> http://www.forexfactory.com/showpost...&postcount=137 . Drop the EA on any chart, any timeframe. It should 'just work'.

We talk about using indicators, such as trend and RSI, but these are coded in the EA (and not in the one that's been released)

Don't use it on a live account, it will lose you money
  • #160
  • Jan 19, 2009 3:03am Jan 19, 2009 3:03am
Quoting 1ka
Hi Rastaman,

You only need the EA, it doesn't use indicators, per se. Pick up stuff from here -> http://www.forexfactory.com/showpost...&postcount=137 . Drop the EA on any chart, any timeframe. It should 'just work'.

We talk about using indicators, such as trend and RSI, but these are coded in the EA (and not in the one that's been released)

Don't use it on a live account, it will lose you money

You hit the nail on the head...I was thinking the indicators mentioned were necessary for teh EA to work. All is clear. Many thanks.
Starting to see instead of just looking.
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