Range bar cloud scalping method | Page 4 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

3 Bar Fractal with mid-bar and bar on each side 11 replies

Change indicator narrow range bar NR4 to wide range bar WR4 0 replies

Range bar/Renko bar chart not working 5 replies

How do I determine what size range bar is comparable to a daily bar? 6 replies

Pin bar, pin bar, pin bar 0 replies

Attachments: Range bar cloud scalping method
Exit Attachments

Range bar cloud scalping method

  • #61
  • Apr 15, 2017 5:15am Apr 15, 2017 5:15am
yes your right but when a strategy starts. It have to evolve. In my opinion.
Everyday better.
  • #62
  • Apr 15, 2017 7:42am Apr 15, 2017 7:42am
You only need one or two reasons to take a trade. More reasons don't increase your odds.

If you want a high win rate (70%+) then your target is going to match or be less than your stop.

If you want 40-60% then you lose more but make more per trade on avg than winning a lot (1.5-2.5 : 1 reward to risk ratios)

If you want to make even more per trade then you have to be willing to lose 65-70% of the time to get 3+ : 1 reward to risk ratios.

Those are the mathematical facts of trading, whether it's stocks, futures, options or Forex, you will find that the above converges to those values in the long-term, regardless of the system (in normal markets).
  • #63
  • Apr 15, 2017 8:07am Apr 15, 2017 8:07am
Excellent thread method is ideal for a machine
  • #64
  • Edited 1:46pm Apr 15, 2017 1:02pm | Edited 1:46pm
hi all. I have returned after many many attempts at righting a EA based on the strategy.
I have finally come up with a simplified version.
I have had to bass it on Renko instead of range bars and only use 2 MA's for the cloud but for the most part it is taking trades as per the rules.
range bars set to 2 pips (200 on my broker for DAX)
stop loss is 5 pips (2 x 2pip candles in the opposite direction plus 1pip spread)
no take profit and just trail the stop loss by 3 pips (1 reversal candle plus 1pip spread)
at the moment its winning 53% with a profit factor of 1.22... not amazing but I'm sure I can tweak it

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot (76).png Size: 35 KB


EDIT tightening up the trailing stop increases the wins to 60% and the profit factor to 1.34
although I don't trust the strategy tester in MT4. the only true test will be demo then live account
  • #65
  • Apr 15, 2017 5:17pm Apr 15, 2017 5:17pm
You've got a very interesting system here, subbed for sure I like your discipline described in the first explanation post 6 pip SL/TP until you hit 5pips for the day and quit very nice.

Are you still going to continue to trade the system and explain with charts for us whilst you develop the EA at the same time?

It looks like you could for instance on the EA use the below and reverse for Long trades maybe.

For Sell,
If MA fast < MA medium < MA slow
Candle 1 high > MA fast & medium or just medium
Candle 0 close < MA medium / MA fast (separate entry conditions)
Open Sell

If that makes any sense it works in my head but explaining it might sound off. I could make an EA for how I am trying to explain it but I do not have a clue how to back test in Renko charts what MA settings did you use for the EA?
  • #66
  • Apr 15, 2017 5:40pm Apr 15, 2017 5:40pm
OP, do you plan on starting with real funds? I would like to hear your experience with that.
  • #67
  • Apr 16, 2017 2:54am Apr 16, 2017 2:54am
Quoting Ipodbob
You've got a very interesting system here, subbed for sure I like your discipline described in the first explanation post 6 pip SL/TP until you hit 5pips for the day and quit very nice. Are you still going to continue to trade the system and explain with charts for us whilst you develop the EA at the same time? It looks like you could for instance on the EA use the below and reverse for Long trades maybe. For Sell, If MA fast < MA medium < MA slow Candle 1 high > MA fast & medium or just medium Candle 0 close < MA medium / MA fast (separate entry...
Thanks bob.
I hadn't thought of it that way. it makes perfect sense and is about as close to the rules as you can get with range bars without having the heiken ashi.
the plan is to get the EA to take the trades for me as per the rules in the first post but monitor and manage them manually and still take my 5 pips and run.
I'll continue to post results and charts both good and bad.
I will also open a separate demo account and try running it all day to see if there is any benefit in that.
thanks a lot for your input, i'll have a crack at coding this and let you know how it goes
  • #68
  • Apr 16, 2017 2:58am Apr 16, 2017 2:58am
Quoting ghostman10
OP, do you plan on starting with real funds? I would like to hear your experience with that.
100% but only when I am fully confident in the method and myself in trading it and I will be happy to share how it goes
  • #69
  • Edited 3:56am Apr 16, 2017 3:19am | Edited 3:56am
Looking forward to seeing how this will pan out, I will start using this system this week and maybe also make and EA once I get my head around it keep up the good work let me know how that EA goes

Nvm i have got my chart setup although annoyingly the template loads the lines really thick and won't save smaller LoL!
  • #70
  • Apr 16, 2017 7:00am Apr 16, 2017 7:00am
Quoting Ipodbob
Looking forward to seeing how this will pan out, I will start using this system this week and maybe also make and EA once I get my head around it keep up the good work let me know how that EA goes Nvm i have got my chart setup although annoyingly the template loads the lines really thick and won't save smaller LoL!
I have the same problem with the lines!
ive managed to get as close as I can to the entry rules with range bars but its not perfect and probably beyond my skilsl. I'm having better results with the Renko version which with a bit of tinkering I have got to about 50/50 win lose with nearly 1:2 risk reward

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot (77).png Size: 34 KB
  • #71
  • Edited 10:24am Apr 16, 2017 10:09am | Edited 10:24am
Whether you're working with renko or range bars, I would recommend that you come up with an indicator panel which can show you the rate of time change between bars. That way, when you see your signal, you can tell if you ever had a chance to get a trade anywhere near your price in real-time. You could have a couple of price bars which show consecutive 0-2 second time differences. As a home trader, you'll get that trade at the worst possible price on a market or not get in on a limit.

You're getting great looking results in testing on renko bars because the close of the bar does not represent an actual closing price you can attain in real-time with the tightest slippage possible. A range bar close does represent the actual close of the bar.

You'll see this all the time in vendors trying to sell trading systems, esp. in the futures market. They'll use some specialty renko bar, saying it smooths out price so their indicators are more effective when what it really does is look great on a chart but has horrible execution slippage in practice [the vendors don't actually trade for a living, of course].

50/50 chance with 2:1 reward to risk ratio as a net result (long-term stats) which includes slippage would have you as one of the best traders in the entire world so take that stat with a grain of salt in backtesting. If you can keep that at 1.5 : 1 total net at 50/50 after transaction fees, you're doing awesome.
  • #72
  • Apr 16, 2017 11:56am Apr 16, 2017 11:56am
Quoting fishbo81
hi all. I have returned after many many attempts at righting a EA based on the strategy. I have finally come up with a simplified version. I have had to bass it on Renko instead of range bars and only use 2 MA's for the cloud but for the most part it is taking trades as per the rules. range bars set to 2 pips (200 on my broker for DAX) stop loss is 5 pips (2 x 2pip candles in the opposite direction plus 1pip spread) no take profit and just trail the stop loss by 3 pips (1 reversal candle plus 1pip spread) at the moment its winning 53% with a profit...
Hi , fishbo81
Can u please tell me what's MA you are using In this chart ?
with MA period ?
Thanks
Regard NOOR16
  • #73
  • Apr 16, 2017 1:00pm Apr 16, 2017 1:00pm
Quoting Noor16
{quote} Hi , fishbo81 Can u please tell me what's MA you are using In this chart ? with MA period ? Thanks
https://www.forexfactory.com/showthr...82#post9755882
  • #74
  • Apr 17, 2017 12:09am Apr 17, 2017 12:09am
Quoting fishbo81
{quote} I have the same problem with the lines! ive managed to get as close as I can to the entry rules with range bars but its not perfect and probably beyond my skilsl. I'm having better results with the Renko version which with a bit of tinkering I have got to about 50/50 win lose with nearly 1:2 risk reward {image}
Can you share the renko settings please if you wouldn't mind if you think that is a better place to start? I am going to start practicing after Easter weekend has finished
  • #75
  • Apr 17, 2017 3:02am Apr 17, 2017 3:02am
Quoting fishbo81
hi all. I have returned after many many attempts at righting a EA based on the strategy. I have finally come up with a simplified version. I have had to bass it on Renko instead of range bars and only use 2 MA's for the cloud but for the most part it is taking trades as per the rules. range bars set to 2 pips (200 on my broker for DAX) stop loss is 5 pips (2 x 2pip candles in the opposite direction plus 1pip spread) no take profit and just trail the stop loss by 3 pips (1 reversal candle plus 1pip spread) at the moment its winning 53% with a profit...
Hi , fishbo81
Can you please share your Renko Maker EA ? My one can't make M1 offline chart .
thanks
Regard NOOR16
  • #76
  • Apr 17, 2017 5:22pm Apr 17, 2017 5:22pm
OP, no trades today?
  • #77
  • Edited 2:13am Apr 18, 2017 1:51am | Edited 2:13am
Quoting ghostman10
OP, no trades today?
Bank holiday the market was shut I believe, my first two trades on this system we're both positive though as per rules that's me done for the day!

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 129 KB
  • #78
  • Apr 18, 2017 3:26am Apr 18, 2017 3:26am
Quoting Ipodbob
{quote} Bank holiday the market was shut I believe, my first two trades on this system we're both positive though as per rules that's me done for the day! {image}
Fishbo81, are these both valid entries?
  • #79
  • Apr 18, 2017 3:37am Apr 18, 2017 3:37am
Quoting Ipodbob
{quote} Bank holiday the market was shut I believe, my first two trades on this system we're both positive though as per rules that's me done for the day! {image}
Nice one bob.
your chart looks a little different to mine.
your first entry is textbook. the second I would have liked to see a red heiken ashi bar before entering but a good trade nether the less.
actually there was a red bar on my chart. strange. what are your range bars set to?

keep it up though!

I'm testing out the robot today. not going so well but I'm sure it will turn around. need to find the best settings
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot (78).png Size: 56 KB
  • #80
  • Apr 18, 2017 3:41am Apr 18, 2017 3:41am
Quoting Hazza88
{quote} Fishbo81, are these both valid entries?
first one was. the second should of has a red heiken ashi bar close inside the cloud then have a white close above it
0 traders viewing now