Hi everybody !
I have just discovered that the MTF indicators have been available for some time ago and I am very happy with this opportunity.
DEAR NICOLAS,
I’d like to have more explanations if possible.
Before getting there, I have here 2 examples which, if they are in line with the MTF, associated with the array variables, this would mean that I have understood the process.
Another thing, can you please give us other simple examples as you promised? With everyday indicators like STO, RSI MM and so on…
That’s why I’m here to ask for some help for a better understanding in this code.
I propose 2 situations to be examined one after other.
The first :
IS IT POSSIBLE TO CODE THIS WITH ARRAY VARIABLES AND MTF INDICATORS, BECAUSE WE ENTER IN CODING THE FUTURE (Anticipation over 3 periods ahead):
I want to take a bullish position on H4 Timeframe. Here the duration of my operation will be from 4 hours to 2 or 3 days. (Deadline that I set myself on this horizon of the forecast)
I would like to make sure on Daily TF that during this period of time, (that is to say over the next 2 to 5 days, including then my 3 days max on H4 TF) the trend will remain bullish, despite a decline towards the MA.
For this, I have a 20-days MA and a 7-days MA. In manual trading, the projection is visual. I want to check and will only take a position only if, during the coming days, the added closes (therefore anticipation, this is a bit in the future) are systematically greater than the close [8] and following 7, 6, and close [21] and following 20, 19, 18. (Otherwise we can do the analysis with the current close) The close can be estimated by using the other indicators (or the previous close, or the current close)
If this is verified over at least 3 days, ie that the closes and the 7-days average have ended their decline on the 20-days MA which has remained bullish; then on H4 TF I will take a position when the average 28 hours (4 hours x 7) has crossed the average 80 hours (= 4 hours x 20). Or, better, I’ll use the STO, confirmed by MACD.
In fact, The problem is, in Daily TF, to code thess formulas for the 7-days MA and also the 20-days MA: (MAshort, MAlong)
MAsh [2] = MAsh [3] + ((close-close [8]) / 7).
And for the MA 20 :
MAlg [2] = MAlg [3] + ((close-close [21]) / 20)
If I assume that the ratio ((close-close [8]) / 7), (= Δ) (Delta)
(The MA of the following period (MA [2]) is equal to the MA [3] of the previous period to which we add delta, given that for a MA with 7 periods, to MA of the following period will be added the 8th close and withdraw the 1st close)
Delta means that at the withdrawn close we subtract the added close and divide this difference by the period of the MA.
As long as delta is> 0 and increasing in absolute value, the MA7 will progress; if delta is<0 and increasing in absolute value, the MA7 will decrease.
But above all, this analysis allows me to anticipate a crossing or a non-crossing or tightening of MAs. So, I have to make sure that over at least 3 days of my trade the trend on the upper TF will be bullish.
THANK YOU TO TAKE A LOOK AT THIS.
I 'll tell about the second exemple in the future, after this... And I'm going to present tomorrow or after tomorrow the code I've tried to make up...
In your second example « probality Cone » I’ve seen that it is an anticipation. Can you explain this strategy please and the role of the cone ? This will undoubtedly help in a better understanding.
THANKS AND BEST REGARDS
GENTRY.
.
