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Building an equity millipede

  • #5,881
  • May 19, 2013 1:44am May 19, 2013 1:44am
and some more...

PercentChangeFromOpen(Vee).mq4 - manually enter the price as of the first of year to calculate YTD %

Round Numbers (by FX-Pro).mq4 modified to include Alert (to be used with Alerter indicator)

Alerter (by tic).mq4 (I have modified this to include push notifications for those who use MT4 Mobile)
extern boolEmailAlert= true;
extern boolPopupAlert= true;
extern bool SendPushNotification = true;

Consolidated Positions.mq4 - modified to include "distance in pips from average price" and alert feature to send alerts if price crosses average position price (usually when stacking aggressively!)
Attached Image
Attached File(s)
File Type: mq4 PercentChangeFromOpen(Vee).mq4   5 KB | 654 downloads
File Type: mq4 Round Numbers (by FX-Pro).mq4   5 KB | 676 downloads
File Type: mq4 Alerter (by tic).mq4   5 KB | 628 downloads
File Type: mq4 Consolidated Positions.mq4   6 KB | 698 downloads
Staying in my lane...
  • #5,882
  • May 20, 2013 2:28am May 20, 2013 2:28am
Quoting VEEFX
and some more... PercentChangeFromOpen(Vee).mq4 - manually enter the price as of the first of year to calculate YTD % Round Numbers (by FX-Pro).mq4 modified to include Alert (to be used with Alerter indicator) Alerter (by tic).mq4 (I have modified this to include push notifications for those who use MT4 Mobile) extern bool EmailAlert = true; extern bool PopupAlert = true; extern bool SendPushNotification = true; Consolidated Positions.mq4 - modified to include "distance in pips from average price" and alert feature to send alerts if price...
Hi Vee,

Many tks for your generous share to us.

Could you pls share TradeNaked.mq4 - we do have TradeNaked.ex4 script, however there is a bug - even with Admin rights that script has no permission to write on HDD.

Have a plenty green pips!!

Kindest Regards
Mike
  • #5,883
  • Edited May 21, 2013 1:39am May 20, 2013 10:55am | Edited May 21, 2013 1:39am
Quoting miekra
{quote} Hi Vee, Many tks for your generous share to us. Could you pls share TradeNaked.mq4 - we do have TradeNaked.ex4 script, however there is a bug - even with Admin rights that script has no permission to write on HDD. Have a plenty green pips!! Kindest Regards Mike
Even I would love to see how this script is coded. I could only find the .exe.


While I am here, I might as well share my current locking/freezing going on with U/J. Enjoy !
Attached Image (click to enlarge)
Click to Enlarge Name: Snap1281.jpg Size: 178 KB
Staying in my lane...
  • #5,884
  • Edited May 21, 2013 1:41am May 20, 2013 12:33pm | Edited May 21, 2013 1:41am
Quoting VEEFX
{quote} Even I would love to see how this script is coded. I could only find the .exe. While I am here, I might as well share my current locking/freezing going on with U/J. Enjoy ! {image}
Question for Cam and others who have tried freezing floating pips per rules of Graeme mentioned in this epic post ( http://www.forexfactory.com/showthre...28#post4761328 )

- Is it better to freeze all floating positions (like I did with 0.44 lot size for UI/J as I had 4 x 0.11 positions floating at the time just before market close on Friday)?

OR

- Is it better to maintain same position size and freezing one position at a time (by following the price in the intended direction) ?
Staying in my lane...
  • #5,885
  • May 20, 2013 7:02pm May 20, 2013 7:02pm
Quoting VEEFX
{quote} Question for Cam and others who have tried freezing floating pips per rules of Graeme mentioned in this epic post ( http://www.forexfactory.com/showthre...28#post4761328 ) - Is it better to freeze all floating positions (like I did with 0.44 lot size for UI/J as I had 4 x 0.11 positions floating at the time just before market close on Friday)? OR - Is it better to maintain same position size and freezing one position at a time (by following the price in the intended direction) ?
I can't say what works better but my interpretation of OP's writings is that he opened a small fixed sized position for each signal. So if he got a buy he'd add 1 long and if he got a sell he'd add 1 short.

Central to his framework is having a (non-US) hedging account. So every time he got a buy or sell signal he could keep opening these small, incremental positions in the same account.

So I believe OP's thought was that you'd be freezing 1 of the opposite positions on every signal, or adding to his exposure if he was net long or short. So if he has 10 long positions and 12 short, he's net short; if he gets a sell signal he'd be more short rather than canceling out ("freezing") 1 of the longs.

The only stops he uses (in my interpretation) are the ones he sets on entry initially. They're either hit or moved to BE and that's it. I don't believe he trails other than that.

The thing that was never clear to me was when to exit legs once they've made it past the initial entry area.
You are in a maze of twisty little passages, all alike.
  • #5,886
  • May 21, 2013 2:20am May 21, 2013 2:20am
Quoting stevegee58
{quote} I can't say what works better but my interpretation of OP's writings is that he opened a small fixed sized position for each signal. So if he got a buy he'd add 1 long and if he got a sell he'd add 1 short. Central to his framework is having a (non-US) hedging account. So every time he got a buy or sell signal he could keep opening these small, incremental positions in the same account. So I believe OP's thought was that you'd be freezing 1 of the opposite positions on every signal, or adding to his exposure if he was net long or short....
Thanks Steve. Some US brokers allow hedging too (via netting in their back office) which has the same net effect for us in US. More importantly, they allow to bypass FIFO restriction also.

Regarding when to close, I struggled quite a bit and in my experience, the more you think about it the more it causes obstacle in your thought process. Instead, I focussed on how much emotional capital I was to spend monitoring legs for infinite growth. I have experienced several legs worth 700-800 pips die at BE, and several at 1200+ pips. The hurt was not because I could not realize floating profits. For me, the hurt was when I was draining by account balance trying to build legs... and then they die at BE, equity moves in the direction of account balance and that plays a HUGE negative game in my thought process. Because of this personal revelation, I now have a short-term stacking account (FIFO enabled) and this MT4 netting account for long term position building. Both accounts allow me to have a overall smooth account balance and account equity curve. I also prefer being just net long or net short and it stems from my uni-directional and unwavering style of thought process in trading and in personal life. Sorry for the long response but there is no right or wrong answer. Just holding on to your legs until 500 pips of growth is more than enough (for me!). Most likely there will be a stall or a retrace after few days of 500 pip movement,
Staying in my lane...
  • #5,887
  • May 21, 2013 2:25am May 21, 2013 2:25am
Quoting VEEFX
and some more... PercentChangeFromOpen(Vee).mq4 - manually enter the price as of the first of year to calculate YTD % Round Numbers (by FX-Pro).mq4 modified to include Alert (to be used with Alerter indicator) Alerter (by tic).mq4 (I have modified this to include push notifications for those who use MT4 Mobile) extern bool EmailAlert = true; extern bool PopupAlert = true; extern bool SendPushNotification = true; Consolidated Positions.mq4 - modified to include "distance in pips from average price" and alert feature to send alerts if price...
A humble request for any coders out here. In the consolidated positions indicator ! attached, could some add a boolean input parameter to toggle displaying in floating pips or $ value ? That would be a big help!
Staying in my lane...
  • #5,888
  • May 21, 2013 5:28am May 21, 2013 5:28am
Keep in mind that hedging versus non-hedging is really just a math trick anyway. If you wrote a front end to a non-hedging account you could still track your long and short positions independently as if they were hedging. Under the hood your broker would be closing positions when an offsetting position was opened but you can keep your own books on your trades. Even FIFO can be ignored this way.
You are in a maze of twisty little passages, all alike.
  • #5,889
  • May 21, 2013 9:31am May 21, 2013 9:31am
Quoting stevegee58
Keep in mind that hedging versus non-hedging is really just a math trick anyway. If you wrote a front end to a non-hedging account you could still track your long and short positions independently as if they were hedging. Under the hood your broker would be closing positions when an offsetting position was opened but you can keep your own books on your trades. Even FIFO can be ignored this way.
yep.. I did my front-end in Excel for over a decade. Now I just let MT4 do the needful for me.
Staying in my lane...
  • #5,890
  • Edited 1:25pm May 21, 2013 1:08pm | Edited 1:25pm
Hi guys.
Just want to share my first experience with futures. I have not placed a trade yet - only testing. But first look is very promising. Huge difference between broker with MT4 and any broker who allow you to trade futures with options.
My first test was with shorting CADUSD (as you might know on CME and GLOBEX this pair is backward.
So, I used combination of:
- short June [email protected], required margin $1,100
- buy to open protective June CALL97.5, debit $695
- write (sell to open) May24 PUT96.5, credit $110
First two positions are simply locking my position with limited loss; for that I paid insurance premium $695. Which means: until June contract expiration, price can go anywhere, I don't care - my loss is fixed at $695. My potential profit is the sky.
The third position (writing PUT) is to offset my expenses. I simply sold "out of the money PUT" that will (hopefully) expire worthless this Friday. If this PUT is exercised, I will have to cover the difference which will limit my profit from falling CADUSD. That is a con, but it is OK.
Anyways, I calculated three possible scenarios when price is going:
- against my position
- unchanged
- in my favor
I calculated for illustration purposes max 100pips move for the next three weeks; that makes 9 possible outcomes for the end of second week. I didn;t go further than that because, probabilities are getting way out of whack, and it will be 27 outcomes. But first two weeks are revealing a lot already. So, take a look.
http://ph.terraimpera.com/futures/short/index.html
W-4 means 4 weeks before expiration.
first line is changes in balance (starting with $10,000)
second line is resulting equity
red - price went against me 100pips, blue - unchanged, green - price went in my favor
As you see, in especially bad situation when price moved 200pips against you position, my equity is still as if I lost only 33.5 pips (see left branch)
The goal of this whole thing is to enter and hold a position at minimum expense. Remember the loss is locked.
How does it apply to Millipede? Directly. I get to gradually build a position at minimum expence, which will allow me to:
- collect partial compensation for purchased protective PUTs/CALs
- collect income while still holding a position by selling out of the money CALLs/PUTs
- collect profit from price change, when the time comes to close entire position

Only last option is possible with MT4 trading.

As an example of actual trading I started test trades in MT4 Long AUDUSD using my usual method. It gave me two stop-losses and finally closed at BE. resulting two position loss. At the same time I started trading long AUDUSD June contract - 6AM3. Because I had protective PUT in place, I need no stop-loss. Selling next week CALL will bring me some compensation for that insurance. In the last few days price AUDUSD wiggle back and forth, but my 6AM3 position is stable as a rock; if it goes higher I gain. if it goes lower - my loss is locked.

Anyways, I think I would share with you what it is. It is a long journey to learn to trade combination futures/option, but it is an interesting one. I am about to switch from shore-cruising to ocean crossing. It is entirely new type of trading.
Your thoughts are welcome.
Attached File(s)
File Type: pdf shorting 6CM3.pdf   354 KB | 840 downloads
File Type: xlsx shorting 6CM3.xlsx   42 KB | 434 downloads
True knowledge is knowing that you know nothing. Socrates.
  • #5,891
  • May 21, 2013 1:13pm May 21, 2013 1:13pm
Quoting VEEFX
Question for Cam and others who have tried freezing floating pips ...
Hi Vee,

In my trading freezing happens naturally, it is not something I look to do intentionally. I enter buy and sell positions according to what I think about the market, and sometimes I have buy and sell on the same pair, hence frozen profits.

Cheers,

Cam
  • #5,892
  • May 21, 2013 1:23pm May 21, 2013 1:23pm
Quoting Sarkel
Hi guys. Just want to share my first experience with futures.
Hi Sarkel,

I salute your exploration of other financial instruments. Futures are a great source of non-correlated markets to trade, and options are amazing having one more dimension to profit from compared to straight trading (i.e. volatility), plus almost infinite strategies you can build depending on what effect you wish to achieve.

But this forum is about Forex, and specifically the method presented by Pipeasy.

Cheers,

Cam
  • #5,893
  • May 21, 2013 2:01pm May 21, 2013 2:01pm
Quoting cameron1st
{quote} Hi Sarkel, I salute your exploration of other financial instruments. Futures are a great source of non-correlated markets to trade, and options are amazing having one more dimension to profit from compared to straight trading (i.e. volatility), plus almost infinite strategies you can build depending on what effect you wish to achieve. But this forum is about Forex, and specifically the method presented by Pipeasy. Cheers, Cam
Yep, you are right. It might not be the right place to discuss this type of trading.
I am a big millipede fan who experienced power of building multi-legs position on my own live account.
With my post I just wanted to open a new horizon and how it can apply to what pipEasy was so kind to unveil to us.
Benefits of trading millipede by pipEasy is so obvious, yet so many people are still trying to make money "here and now".
True knowledge is knowing that you know nothing. Socrates.
  • #5,894
  • May 22, 2013 12:16am May 22, 2013 12:16am
Quoting cameron1st
{quote} Hi Vee, In my trading freezing happens naturally, it is not something I look to do intentionally. I enter buy and sell positions according to what I think about the market, and sometimes I have buy and sell on the same pair, hence frozen profits. Cheers, Cam
Thanks Cam. My question was which option is better for long term growth.I believe I have my answer now. Thx
Staying in my lane...
  • #5,895
  • May 22, 2013 12:27am May 22, 2013 12:27am
Quoting Sarkel
{quote} Yep, you are right. It might not be the right place to discuss this type of trading. I am a big millipede fan who experienced power of building multi-legs position on my own live account. With my post I just wanted to open a new horizon and how it can apply to what pipEasy was so kind to unveil to us. Benefits of trading millipede by pipEasy is so obvious, yet so many people are still trying to make money "here and now".
Why is this forum not the right place to discuss? This approach could be universally applied to any tradable instrument that varies in price over time. Graeme himself mentioned it in one of his posts. I would be a great idea to start your own thread specific to currency Futures and Options and share your experience. I would love to participate with you in those discussions as it would a good learning opportunity for many. Futures is the natural progression path for retail traders with 6-digit growth in capital (either futures/options or institutional/prime brokerage) so it should be part of your 5 year trading plan :-

I could never understand various stock option strategies and traded futures only several times before getting hooked on Spot FX.
Staying in my lane...
  • #5,896
  • May 22, 2013 7:15am May 22, 2013 7:15am
Quoting VEEFX
{quote} Thanks Cam. My question was which option is better for long term growth.I believe I have my answer now. Thx
Hi Vee,

I can only tell what I have experienced myself ... I do trade long term, positions over a year old, but I haven't found a need to freeze profits intentionally yet. They end up being frozen from normal trading taking positions buy and sell when opportunities dictate so. I agree that does not mean much as your situation may be completely different, but it is the only answer I have :-)

Cheers,

Cam
  • #5,897
  • Jun 25, 2013 12:20pm Jun 25, 2013 12:20pm
Hi Everyone,
Could someone tell me which page on this thread that one has compiled Graeme's posts only on pdf files. I did recall reading them once before.
Thank you in advance.
fxpig
  • #5,898
  • Jun 25, 2013 12:26pm Jun 25, 2013 12:26pm
Quoting fxpig
Hi Everyone, Could someone tell me which page on this thread that one has compiled Graeme's posts only on pdf files. I did recall reading them once before. Thank you in advance. fxpig
http://www.forexfactory.com/showthre...85#post5105285
  • #5,899
  • Jun 25, 2013 1:39pm Jun 25, 2013 1:39pm
Quoting Redsunfx
{quote} http://www.forexfactory.com/showthre...85#post5105285

Thanks Redsunfx,
That is html file, however I found the pdf file created by Eklavya .
If anyone needs them please follow the link below.


http://www.mediafire.com/?nzhyiod0jk6b20c
  • #5,900
  • Jul 8, 2013 8:46am Jul 8, 2013 8:46am
Does anyone knows how Graemes calculates unrealized net profits he adds per week?
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