Hi Balmoral,
I like the approach you have chosen. Just a quick question. With instruments where pipsize =1 the code works fine, but I think as soon as this is not the case, things might not go as intended. In the code sample below for example only the MMA 15 steps back is multiplied by pipsize. For EUR/USD the pipsize can be 0.0001 and will therefore result in an angle that is always close to 90° (given that MMA is not multiplied) hence a buy condition.
ADJASUROPPO = (MMA–MMA[nbchandelierA]*pipsize) / nbChandelierA
If pipsize < 1 one might need to consider:
ADJASUROPPO = ((MMA–MMA[nbchandelierA])/pipsize) / nbChandelierA
Maybe I am missing something in my observation, so please review and I love to hear your feedback.
Hi Nwesterhuijs !
Yes I am aware of this problem with Forex. But I use this strategy only on indices and not on forex because it is primarily a trend tracking strategy. The strategy is profitable over the long term thanks to a few very directional trades and an entry point adjusted to this trend and coupled with a trailing stop that allows to take maximum advantage of the trend.
On the forex the problem is that the price is rarely directional and tends to evolve in range and the strategy is not made for that.
But I think it is of course possible to adapt the calculation of the angle for the forex by searching a little …
If that can help you I have attached 2 indicator that correspond to the display of the angle (in degree) in form of histograms and the slope of the moving average (in radius) and its moving average. These are the indicators found in the code.
Moreover one can also adapt the code for the stock markets. Besides, that’s where I got the idea of the code when I studied the method of Stan Wenstein in timeframe Hebdo that I adapted to scalping 🙂
Good luck 🙂
