Move to BE on Confirmation of Market Structure

Steveaw · 2020-06-27T12:11:42+00:00

Hi All One key strategy I use manually is confirmation of direction with market structure or break of market structure. This uses significant higher highs and significant lower lows. I am wondering if it is possible to code this? For example if I enter into a Long trade with defined target (say TP=100) and stop loss (say SL=20), then when the market structure continues in my favour I want to move my SL to BE & then continue to move my SL via trailing stop as market continues in my favour I currently do this by (on a Long Trade) looking for a past significant high to be broken up after entering ( current higher high) and a higher low been established after a previous significant Low. I’ve attached a Line & Point as well as a candlestick chart to illustrate the strategy, so basically I would be looking for a sequence as below as price cycles up: H2 > H1 L2 > L1 Then move SL to break even IF H3 > H2 & L3 > L2 Then Move SL to L1 etc etc Exit would be if price breaks this market structure say if H3 < H2 & L3 < L2 The strategy obviously would need to be scanning previous reference bars from entering into the trade (or last reference bar if first BE condition has already been met) to establish these significant Highs & Lows rather than just the previous bar. Does this sound feasible?

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06/30/2020 at 10:11 AM #137646 quote

Steveaw

Participant

Average

Ah ok I guess it doesn’t matter which but let me take a look at them using gold spot/USD is that ok?

Probably change the entry onto a higher timeframe as well just to get into a trade.

Quick question though (and you have probably realised by now that I’m a coding numpty!) how does the code know what SigHI1 is and how does this increase(lines 51 & 54 in my code version above)?

Also on line 51 where SigHI > 0 would I be able to to substitute 0 for a higher integer value say 20 to represent 20 pips in profit or is it just a 1-0 true – false statement?

Forgive me for my lack of understanding!

Steve

06/30/2020 at 12:17 PM #137683 quote

robertogozzi

Moderator

Legend

Don’t worry, newbie ISN’T numpty! (the same as Expert ISN’T smart!)

GraHal ‘s motto is “Ask a question, you may be a fool for a day. Don’t ask a question, you may be a fool for life!? ” and I subscribe to it!

that 0 is just a logical statement (true-false), 0=FALSE whichever value other than 0 is true.

But… what proves GraHal is right is just in your lines 51-54. Checking them I just realized a made a HUGE mistake in my first post, where I used logical values to compare higher and lower swing points.

Thanks for spotting that Steveaw.

This is the correct (?!) version of my first post:

ONCE SwingHI1 = 0
ONCE SwingHI  = 0
ONCE SwingLO1 = 0
ONCE SwingLO  = 0
ONCE LookBack = 10
IF Not OnMarket Then
   MySL  = 0
ENDIF
MaxHI    = max(open,close)
MinLO    = min(open,close)
Bullish  = close > open
Bearish  = close < open
SwingHI  = highest[LookBack](MaxHI)
SwingLO  = lowest[LookBack](MinLO)
SigHI    = SwingHI AND Bearish AND Bullish[1]
SigLO    = SwingLO AND Bullish AND Bearish[1]
IF LongOnMarket AND SigHI > 0 AND SwingHI > SwingHI1 THEN
   SwingHI1 = SwingHI
   IF SwingHI1 > SwingLO1 THEN
      MySL = max(TradePrice,max(MySL,SwingLO1))
   ENDIF
ELSIF ShortOnMarket AND SigLO > 0 AND SwingLO < SwingLO1 THEN
   SwingLO1 = SwingLO
   IF SwingLO1 < SwingHI1 THEN
      MySL = min(TradePrice,min(MySL,SwingHI1))
   ENDIF
ENDIF
IF OnMarket AND MySL <> 0 THEN
   SELL      AT MySL Stop
   EXITSHORT AT MySL Stop
ENDIF

I’m so sorry you will have to change your strategy again!

GraHal thanked this post

06/30/2020 at 1:47 PM #137704 quote

Steveaw

Participant

Average

Hi Roberto

I’ve attached a XAU/USD on 5 min entry & 1 Hr exit for the code.

settings are:

Set Point for Entry 1751 long

SL – 10

TP – 20

Steve

Screenshot-2020-06-30-at-13.44.32.png

06/30/2020 at 3:34 PM #137751 quote

robertogozzi

Moderator

Legend

Please post your last used code.

07/03/2020 at 5:23 PM #138322 quote

Steveaw

Participant

Average

// Hi Roberto - I've attached the code and another screenshot on XAU/USD
//Steve

// Solution from PRC For Finding a BOS5

//TAKE PROFITS AT BREAK OF MARKET STRUCTURE Test 3
//-------------------------------------------------------------------------
// Definition of code parameters
DEFPARAM CumulateOrders = False // Cumulating positions deactivated
daysForbiddenEntry = OpenDayOfWeek = 6 OR OpenDayOfWeek = 0
if onmarket or strategyprofit<>strategyprofit[1] then
flag = 1
endif
 
if dayofweek <> dayofweek[1] then
flag = 0
endif
 
entry=1751
 
SET STOP pLOSS sl
SET TARGET pPROFIT tp
sl=10
tp=50
// Conditions to enter long position
notradetime1=213000
notradetime2=233000
notradetime=time>notradetime1 and time<notradetime2
 
timeframe (60 minute, updateonclose)
 
c1=low<=entry
timeframe(default, updateonclose)
IF not daysForbiddenEntry and not flag and not onmarket and not notradetime and c1 Then
Buy 1 perpoint AT MARKET
ENDIF
 
// from PRC
timeframe (60 minutes, updateonclose)
ONCE SigHI1   = 0
//ONCE SigHI2   = 0
ONCE SigLO1   = 0
//ONCE SigLO2   = 0
ONCE LookBack = 5
IF Not OnMarket Then
MySL  = 0
ENDIF
MaxHI    = max(open,close)
MinLO    = min(open,close)
Bullish  = close > open
Bearish  = close < open
SwingHI  = highest[LookBack](MaxHI)
SwingLO  = lowest[LookBack](MinLO)
SigHI    = SwingHI AND Bearish AND Bullish[1]
SigLO    = SwingLO AND Bullish AND Bearish[1]
IF LongOnMarket AND SigHI > 0 AND SigHI > SigHI1 THEN
//SigHI2 = SigHI1
SigHI1 = SigHI
IF SigHI1 > SigLO1 THEN
MySL = max(TradePrice,max(MySL,SigLO1))
ENDIF
ELSIF ShortOnMarket AND SigLO > 0 AND SigLO < SigLO1 THEN
//SigLO2 = SigLO1
SigLO1 = SigLO
IF SigLO1 < SigHI1 THEN
MySL = min(TradePrice,min(MySL,SigLO1))
ENDIF
ENDIF
IF OnMarket AND MySL <> 0 THEN
SELL      AT MySL Stop
EXITSHORT AT MySL Stop
ENDIF