Playing with ADX: Display Arrows at Difference

Busying playing with ADX... again.
Not doing anything special really. Just making an indicator that displays a colourful difference between rising ADX and falling ADX. In addition, I threw in a some arrows to be displayed on the chart. Not working properly at the moment: in order for the arrows to be displayed on the chart I have to load the indicator in the chart, and then compile it. So, gotta fix that, and then, hopefully, make it with multi timeframe settings.

Automated Gap Trading

So, lately I've been working on a project that involves making profits from gaps, and so far it seems pretty solid. There are a few bugs with the program, but those are generally quick fixes. The big heralds are already done, such as:

• having my trade orders deleted/closed when it should
• allowing for multiple markets to be run simultaneously with the EA
• and, to allow for other trades to opened/closed not related to the EA

I'm thinking I'll post the progress of profits/losses on the site, but we shall see. It just might be one of those EA's that works well on paper and not in a live situation. Fingers crossed!

Oh, and just to get everyone excited, here's a picture of potential profit that could have been made of the span of a month on the OIL market with an initial deposit of $300, and at 0.50 cents a point (Strategy Tester from MetaTrader 4):

Not too shabby eh?

Forex Strategy Builder: Great Strategy Testing Program

A viewer recently made a suggestion that I could use a strategy testing program to figure out if my strategies are profitable, and do it in a timely manner. The program he suggested was Cognitum Wave Explore. I tried out their demo, and found it rather difficult to grasp. It looks like it could be a handle program if I were to spend more time with it, but it was a trail version I was trying, and I hate to say this, but I don't have the $69.00 to invest in such a program.

So, I went on the hunt for a user friendly strategy tester that was free. Believe it or not, I've found one:

Forex Strategy Builder

From what I've seen this program is very user friendly (espcially for those non-programmers out there), and is everything I would expect a strategy testing program to have. The developers of this program also put out a couple other programs, such as: Forex Strategy Trader and forex Strategy Builder Pro (beta). Check it out!

Multiple Timeframe (MTF) Fractal Breakout: Possible Short Trading

I recently applied the basic Fractal indicator that comes with MetaTrader 4, and noticed that a good breakout system could be made by observing the price break the lower-high fractal point, or the higher-low fractal point.

This idea is not new, since I remembered that the 1-2-3 Pattern system employs such a method. Regardless, I still decided to design an indicator to display such a pattern. Instead of using the Fractal indicator that came with MetaTrader 4, which uses two bars back and two bars forward to determine Support/Resistance areas, I made an indicator that did two bars back and only one bar forward. It resulted in more signals, and consequently more breakout points. This would not do.

To solve this problem I decided to apply Multiple Timeframes (MTF) to filter out most of my false breakout points. So now whenever price breaks the lower-high or higher-low on a Daily Timeframe I look to the 5-Minute chart to trail my stoploss with each coming support fractal point. Here's a picture of my "rough draft" indicator (longer lines are the Daily Timeframe Fractal points, and the small dots are the 5-Minute Fractal points):

This idea will not give you vast riches, but I think a person could make a small, consistent profit every month.

I have NOT tested this idea to its fullest. So unless you are willing to wait, then I would suggest testing this on your own.