Do you like the article? Share it with others - post a link to it! Use new possibilities of MetaTrader 5 In the article "Theoretical Basis of Building Cluster Indicators for FOREX" we analyzed the operation principle of cluster indicators. The article also introduced main definitions: "overbuying""overselling" of currencies and balance line. In this article we will dwell on the practical application of indicators. The article includes a number of tactical and strategical methods of trading on them: Examples here contain the full cluster, consisting of eight currencies. In practice you can develop any cluster, for example, you can omit primary currencies or currencies, the information on which is excessive for your own trading system. Besides when working with cluster indicators, take into account that they provide information on the basis of all currencies, included into the cluster, and not only currencies of the analyzed currency pair. This factor sometimes distorts useful information. Still signals, received from the indicators, are considered more reliable, because they take into account price fluctuations of all currency pairs, and not only of the analyzed one. The price chart contains periods of trend, consolidation periods flat and pivot areas. But on the other hand the behaviour of cluster indicators differs much from the majority of classical tools; that is why they may display the information about prices, which is not very evident when using other indicators In examples we used such indicators as CCFp and CCp. These indicators have up to eight information lines, each of them corresponds to a certain currency. Very often in analysis it is interesting to view all lines, but in the examples the lines of currencies, not included into the analyzed pair, will be hidden for better attention to the necessary information. Fig 1 displays one and the same indicator CCFp for the pair EURUSD, but in different forms. The upper indicator reflects all currencies included into the cluster. The one below is the same cluster, consisting of eight currencies, but visible are only lines of EUR and USD, other lines are hidden. It is possible due to the indicator settings See the article "Theoretical Basis of Building Cluster Indicators for FOREX" Any price chart reflects the periods of uptrend and downtrend. And the main task of cluster indicators is to determine the change of the direction. There are two types of cluster indicators: trend-following and impulse or signal Each type has two modifications: complexwhich reflect all cluster currencies, and pairintended only for a chosen pair. Let us analyze each type. The indicator CCp displays only two currencies - EUR blue line and USD green line - other currencies are hidden, though they take part in the cluster. If in this indicator one currency is higher than the other one, it is considered to experience growth relative to each other. When the lines intersect, the balance of the pair currencies is achieved. As a rule, forex achievement of the balance point shows that the direction will probably change, i. This indicator not always shows, whether the currency lines intersected or not. In it the intersection of a signal line with a balance line will coincide with the intersection of currency lines in the indicator CCp. All intersections take place in one and the same moment of time. Red vertical lines are drawn in the moment, when a bear signal on the pair EURUSD comes. Green vertical lines give the bull signal for the pair EURUSD. However one cannot use signals produced by impulse indicators directly in trading. For example, one cannot follow signals, which are against the trend. To determine the general direction of a trend either higher timeframes are used, or trend following indicators are analyzed. This type includes two indicators See Fig CCFp, which reflects two currencies, and others are hidden, and the indicator CFP, adjusted to the given pair EURUSD. Like in impulse indicators, intersection points of CCFp indicator lines coincide with the intersection of the indicator line with the balance line. As distinct from signal indicators, trend-following indicators do not give trade signals, but they show the general trend, i. In Fig 3 such periods of time are marked out. Green areas are periods, when it is more preferable to process bull signals, red areas are bear periods. While trend-following indicators take into account the influence of higher timeframes, they have inertial character and that is why they show the trend change later than other indicators. But at the same time, due to this inertance and dependence on higher timeframes, these indicators show pivot points more exactly. But we will discuss it later, when analyzing trading by indicators. And now let us see, what information is presented by the balance line. The total sum of all currency lines on the indicators CCFp and CCp in each time unit is equal to zero, irrelative of the amount of currencies in a cluster. So the indicators described reflect not only the mutual fluctuation relative to each other, but also the fluctuation relative to zero. If a currency line is above the zero line, it is said to be "overbought", if it is below the zero line, it is said to be "oversold". When a currency is in the zero line area balance lineit does not experience tension, being in the equilibrium point. The further movement from the balance line will depend on the fact, whether the currency will be sold or bought. On the other hand, when a currency line is in the overbought area above the zero line or in the oversold area below the zero linethe occurring tension forces the currency to return to its balance state - zero line. While in practice we deal with currency pairs, we always have to analyze the dynamics of two pairs. Exactly the same way the zero line in these indicators will show, when the currency pair is in the balance state, and when it experiences this or that tension. Projection from the intersection of indicator lines with the balance line can point out the price, around which the currency is fluctuating, thus clusters the periods of flat or trend. At the picture Fig 4 blue vertical lines are drawn through the intersection points of the indicator lines. They allow to determine the equilibrium price for the pair EURUSD. Thus, we can transfer the balance line onto a price chart purple line. But analyzing this indicator is outside the topic of this article. You can find more information about it on the site Onix. The horizontal balance line on the price charts shows that the currency pair is in flat. If it is sloping, the pair is in trend. Thus, for example, the period between A and B is determined as a trend. The period BC is a strong trend, and CD is its fading. After that in the period DE the pair was in consolidation, and in the period EF we see a new trend on the pair EURUSD. To tactical techniques we refer trade signals for short-term and medium-term trading, as well as determination of the nearest levels, which can be used for setting targets and stop signals. As an example we will analyze the pair EURUSD and the same timeframe, described earlier. The initial position is the presence of points A clusters B, which show that the price is in trend, and two levels of price range on a chart and See Fig Two horizontal dotted lines are drawn from points A and B. In future they will give support to the uptrend. You can buy starting from these lines in the direction of the uptrend. This support was used, but after the pair consolidation period DE in Fig 4still a trend continued due to this support. The history shows that the trend continued See picture Fig 5a. At the present moment of time we expect the formation of the next point. First, general definitions See Fig For determining a signal we need a clearly expressed Fractal a sharp peak, which, as a rule, appears after strong movements. The second element is the presence of a subsidiary supporting peak From a fractal through this peak a signal line a red line on the picture is drawn. When the indicator line crosses a signal line, an aggressive signal appears. At that, if the fractal was above a zero line, and the intersection was below it, this is a signal to buy the pair analyzed This aggressive signal will be confirmed, when the indicator line crosses a balance line. Trading may be different: you may buy at an aggressive signal, and add or move the stop into lossless area. And sometimes you may act in a conservative way and process only confirmed signals. Besides signals differ in their strength. In Fig 6, variant A is a strong signal, the probability of its processing is very high. Moreover its potential is much higher than that of other variants. Variant B occurs much oftener than variant Abut the signal itself is much weaker, because the subsidiary peak is in the balance line area. The third variant C is the weakest one. As a rule it is more likely to produce loss than profit. The difference from the previous variants is the following: the intersection of the indicator line and the balance line happens earlier, than crossing the signal line It happens so, that the indicator line after crossing the signal line goes down, causing divergence. Such signal is considered to be the strongest one, but it happens not very often. Let us view a practical example - the pair USDJPY is used to show not only successful entries, but unsuccessful signals as well. We analyze signals only for variants A and B, because variant C is very weak. Red signal lines are drawn from a fractal through a subsidiary peak till the intersection with the indicator line. Through the intersection points vertical lines are drawn; they help to see the entry points on the price chart. Here we need to make one note. The signal comes after the signal line crosses the balance line. Their behaviour is almost identical on higher timeframes, but differs on small ones. Strategical trading using cluster indicators consists of determining a potential of new trends formation, entering ling-term positions and their tracing. As a rule trend-following indicators CCFp and CFP are used for these purposes. Not very often, but from time to time there are such moments in the cluster, when the generation of a new trend is expected. In Fig 8a you can see both indicators CCFp with all currencies and CFP for the pair EURUSD daily timeframe. The advantage of these indicators is the following: if forex currency starts falling it is likely to continue falling due to the forex character of such indicators. The same is with forex pair indicator CFP. In the picture there is a potential for the pair EURUSD to fall, it is marked with a thick red vertical line. This line is shifted from peaks to make sure that euro started falling and USD experiences trend, and the pair EURUSD started falling. It is not seen on peaks in real trading. But in medium-term and long-term meaning it is not so important to catch the peak, because anyway we expect enough profit for not trying to catch a new trend from the pivot point. From the thick red line till the thin red line we see the formation of a new trend, the intersection of currencies on the upper indicator and crossing of the balance line on the lower one prove that the trend has changed. Usually after an intersection point strong movements appear, i. As a rule, the trend movement causes the reverse tension of currencies - the potential changes its sign. The thick green line shows the clusters of a potential for the rise of this currency pair, and the thin green line in the intersection point hindered the trend change. But while the potential was not very strong, the movements are not very impetuous. However such movements usually last longer. Now let us view the pair GBPJPY Fig 8b. We have chosen this pair first because the potential is relevant at the time of writing the article. Second, here we see convergence on both - Pound and Yen. Quite a rear case, it is convenient, because it allows to strengthen the position, opened earlier. When medium- and long-term positions are opened, it is necessary to take certain steps, considered to be position tracing. Monitoring of a general direction is controlled by trend-following indicators. A position is closed, when reverse potential appears. Before this you do not always need to close positions fully, because very often one currency changes its direction, while the other currency continues the main one. In such periods currency pairs may be in flat or perform corrections. Accumulation of a position, i. It is convenient, because stop-signals in this case will be much higher than in intraday trading. The same way using impulse indicators we may fix profit, when signals opposite to the main movement come, or open opposite positions aiming at getting backout or correction without closing main positions. In conclusion I would like to dwell on the question of indicator parameters. They were set for the cluster of eight currencies. If a smaller cluster is used, for example primary currencies are excluded, the parameters can be set more precisely. Besides, the parameters were preadjusted for timeframes higher than H4. If your trading system uses smaller timeframes, the parameters should be adjusted according to your trading system. It should be also taken into account, that the indicators can be made more sensitive. In this case they will produce signals earlier, though the amount of false signals will be larger. Or on the contrary they can be made more inertial. In this case signals will be rear and come later, but their reliability will be higher. Thus it is recommended to change the indicator parameters not only according to your own trading system, but also taking into account your trading mode and, if necessary, your temperament Translated from Russian by MetaQuotes Software Corp. You have a green line reflecting the Dow Jones in this case, but it can also be an exchange rateand in the image below you have two moving averages of different lengths. As you can see, starting from December, the green line has many ups and downs, a real zig zag of increases and decreases. However, if you look in the image below, the difference of the two moving averages is always positive. So you constantly add up currency strength, although the green line also has downtrends and not only uptrends. Just replace the months on the scale with days. Therefore, I have some doubts that it works correctly this way. May i know why pls pls advise me I will not list all of the new possibilities and features of the new terminal and language. Forex are numerous, and some novelties are worth the discussion in a separate article. Also there is no code here, written with object-oriented programming, it is a too serous topic to be simply mentioned in a context as additional advantages for developers. In this article we will consider the indicators, their clusters, drawing, types and their programming details, as compared to MQL4. I hope that this article will be useful both for beginners and experienced developers, maybe some of them will find something new. This is just a brief review of MetaTrader 5. A few days have passed since I got the beta version of the MetaTrader 5 terminal and MQL5. The article reveals the portfolio trading principles and their application to Forex market. A few simple mathematical portfolio arrangement models are considered. The article contains examples of practical implementation of the portfolio trading in MetaTrader 4: portfolio indicator and Expert Advisor for semi-automated trading. The elements of trading strategies, as well as their advantages and pitfalls are described. Profitability of trading systems is defined not only by logic and precision of analyzing the financial instrument dynamics, but also by the quality of the performance algorithm of this logic. False trigger is typical for low quality performance of the main logic of a trading robot. The article includes a number of tactical and clusters methods of trading on them methods, helping to detect potential pairs, on which trends may start; procedures of defining entry and exit times; methods of tracing long-term and medium-term positions Examples here contain the full cluster, consisting of eight currencies. Still signals, received from the indicators, are considered more reliable, because they take into account price fluctuations of all currency pairs, and not only of the analyzed one Projection of Main Elements of Price Charts onto Cluster Indicators The price chart contains periods of trend, consolidation periods flat and pivot areas. Copying or reprinting of these materials in whole or in part is prohibited. Therefore, I have some doubts that it works correctly this way jintian yang Nov at Thanks for your indicators and explainations. May i know why pls pls advise me thk u Step on New Rails: Custom Indicators in MQL I will not list all of the new possibilities and features of the new terminal and language. I hope that this article will be useful both for beginners and experienced developers, maybe some of them will find something new Here Comes the New MetaTrader 5 and MQL This is just a brief review of MetaTrader 5. The elements of trading strategies, as well as their advantages and pitfalls are described False trigger protection for Trading Robot Profitability of trading systems is defined not only by logic and precision of analyzing the financial instrument dynamics, but also by the quality of the performance algorithm of this logic.
Locating and Trading Clusters of Support and Resistance
Locating and Trading Clusters of Support and Resistance
On the other hand, these same characters are torn my an insatiable desire to be true to their native culture, to honour and cherish their own, distinct cultural identity.
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On the other hand, these same characters are torn my an insatiable desire to be true to their native culture, to honour and cherish their own, distinct cultural identity.
This list of open caves consists of the Indian Rockhouse Cave, Indian Rockhouse Sink, Panther Cave, mens polo shirts:, Twenty-nine and a Half Cave,, Forest Trail.
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