- Most Forex traders lose all their money.
- Using the robot posted here in trading Forex does not guarantee success.
- Trading this robot could lead to serious financial loss.
- Trading this robot without understanding its underlying trading strategy guarantees traders will lose their money.
Several months ago, scooby-doo offered this as a trend spotting thingy:
- D1, 20 period Rsi. When the Rsi is:
- > 55, market is trending up
- < 45, market is trending down
- in between, market is ranging
This quickly became my favourite for trend determination and I use it a lot.
Last week, I tried this. H1 charts, the four majors:
- go long when the trend is up and there has been a decent retrace
- go short when the trend is down and there has been a decent retrace
- no take profit:
- use mptm to manage the trades with a 50 pip jumping stop
- no stop loss:
- use mptm hedging and hedge-the-hedge at -100 pips and x2 lot size
The attached ea takes care of monitoring the charts for me. The trade trigger for a buy (opposite for a sell) is:
- trades are taken at the start of a new candle when:
- the previous candle has moved in the direction of the trade
- previous RetraceCandles candles must each have lower lows
In this example, we are trading off the swing low.
I have included tp and sl for those who want to experiment with 'I am right or I am out'. Running an EU backtest over the last year to check the code returns a healthy profit using 400, 200. UJ was marginally profitable. GJ a stonking loss.
A note about the Rsi display. It is unnecessary to keep on updating this if there is no clear candle retrace direction. I have coded it to take a reading at the start of each new candle, as I have done the retrace direction. This cuts down on cpu usage but means the Rsi reading will only be correct at the start of each new candle.
Tp and sl are not the point of this bot. The purpose of this experiment is to see if the power of mptm and hedging can make it a profitable strategy, and only forward demo-trading can give an idea of this. The permutations are endless.
Those of you unfamiliar with mptm can download it and the manual from http://www.forexfactory.com/showthread.php?t=89371
When you set up your demos, use the non-mptm version and set up mptm as normal. This avoids the errors that are generated when multiple instances of a bot are all trying to modify different trades at the same time; this can cause the 'trade context busy' error and in extremis, can freeze your platform.
The 'with mptm' versions allow users to test their different combinations of settings through backtesting in strategy tester.
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Since writing the above, I had another idea. The Fractals version uses fractals to defing a swing high/low as the trade trigger, so long as the previous candle has moved in the right direction. So:
- to buy:
- the previous candle must have risen
- there must be a swing low three candles ago
Vice versa for a sell.
The bot does not use the Fractals indi; it does the calculation itself.
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Posting restrictions
I have restricted the ability to post in this thread to: traders with at least 1 voucher; and traders on my 'buddy' list. I have done this because I do not want the thread cluttered with 'newbie' questions about the basics. New/inexperienced traders, this is not intended as a direct insult. What I want here is discussion with traders who fully understand what it is they are doing; when you newbs have been around a while, you will come to understand what a difference experience makes to the posts a member writes and shudder at the recollection of some of the questions you asked. I do. http://cdn.forexfactory.com/images/s..._the_floor.gif Go to your profile page; there is a link to the FF page that describes the voucher process.
Do not attempt to get around this by sending me pm's asking for help with your basic problems. Doing so will earn you an automatic ban from all of my threads.
I have set up a partner thread to this one and Nanningbob's at http://www.forexfactory.com/showthre...66#post3948666
There, you can post the questions that you cannot post here, about anything you need to know. Someone with the knowledge and experience you need will answer. I opened it for Nanningbob traders, but feel free to ask about this robot as well.
Traders/coders with experience who have not yet been vouched for, can get around this restriction be being added to my 'buddy' list; all you have to do is pm me to ask me to do this.
woohoo
