request of money management for a Grid strategy

ALE · 2017-02-04T06:36:17+00:00

Hello Guys having a little fortune this strategy could make money for a period, but as we know it is very dangerous. I’d like to share this code to ask you if someone could apply some intelligent money management. Thanks Ale name of the indicator to call :indicator “Universal 30” name of the indicator to call indicator: “divergenze” Strategy: DAX CFD 1€ _ 1 Minute_ // Funzione : universal 30 //------------------------------------------------------------------------- bandedge= 15 whitenoise= (Close - Close[6]) if barindex>bandedge then // super smoother filter a1= Exp(-1.414 * 3.14159 / bandedge) b1= 2*a1 * Cos(1.414*180 /bandedge) c2= b1 c3= -a1 * a1 c1= 1 - c2 - c3 filt= c1 * (whitenoise + whitenoise[1])/2+ c2*filt[1] + c3*filt[1] filt1 = filt if ABS(filt1)>pk[1] then pk = ABS(filt1) else pk = 0.994 * pk[1] endif if pk=0 then denom = -1 else denom = pk endif if denom = -1 then result = result[1] else result = filt1/pk endif endif RETURN result COLOURED(66,66,255) as "Universal Oscillator", 0 as "0" // DIVERGENCES STO PRC adapted from HK-LISSE code x = stochastic[5,3] y = average[3](x) if x>80 then hi=max(hi,x) hico=max(hico,max(high,high[1])) endif if x crosses under y then sto2b=sto1b sto1b=hi hi=0 p3b=p1b p2b=max(p1b,hico1) p1b=max(highest[3](high),hico) if p2b=p1b then p2b=max(p3b,p4b) endif hico=0 hico1=0 endif if x p2b and sto1b y then p4h=lowco1 lowco1=min(lowco1,low) endif if p1h sto2h and x crosses over y and x>x[1] then signH= 2 else signH= 0 endif //////////////////////////////////////////////// If signB CROSSES UNDER 0 then DRAWTEXT ( "S " ,barindex,- 0.20,dialog,standard,20) coloured ( 255,0,127 ) DRAWTEXT ( "T " ,barindex,- 0.30,dialog,standard,20) coloured ( 255,0,127 ) DRAWTEXT ( "O " ,barindex,- 0.40,dialog,standard,20) coloured ( 255,0,127 ) endif If signH CROSSES OVER 0 then DRAWTEXT ( "O " ,barindex,0.20,dialog,standard,20) coloured ( 0,153,0 ) DRAWTEXT ( "T " ,barindex,0.30,dialog,standard,20) coloured ( 0,153,0 ) DRAWTEXT ( "S " ,barindex,0.40,dialog,standard,20) coloured ( 0,153,0 ) endif return signH as " div STO bull ", signB as " div STO bear " , 0 as " zero " // Variables : // p = 5 // Overboughzone = 80 // Oversellzone = 20 // K = 3 // D = 3 // Definizione dei parametri del codice DEFPARAM CumulateOrders = true // Posizioni cumulate disattivate defparam flatafter=183000 defparam flatbefore=090000 indicator3, ignored, ignored = CALL Divergenze(close) c7 = (indicator3 > 0) c8 = (indicator3 = 1) c5 = (close > open) c6 = (high > high[2]) IF c4 AND c5 AND c6 THEN SELLSHORT 1 CONTRACT AT MARKET ENDIF if longonmarket and c7 then buy 1 contract at market endif if shortonmarket and c8 then sellshort at market endif if longonmarket and (close>positionprice) then sell at market endif if shortonmarket and (close<positionprice-2) then exitshort at market endif

Viewing 3 posts - 31 through 33 (of 33 total)

← 1 2 3

Author

Posts
12/30/2017 at 11:20 PM #56914 quote

Nobody
Participant

Veteran

With all these Grid systems the Black Swan will get you eventually , think CHFEUR peg think Cable gap crash , its a road to nowhere imo . I understand a lot of work has gone into these systems in here but one day the skinny end of the probability curve will get you . WORSE case scenario needs to be taken into account , not ignored .. MARTINGALE definitely never ever on my list

12/30/2017 at 11:25 PM #56915 quote

Nobody
Participant

Veteran

winnie37 wrote:

lol. Funny to test but can be dramatic Even with a 10K account? what’s the max drawdown? Surely better to stay on Patfinder

Put the house in somone elses name that doesnt trade !!!!

12/31/2017 at 9:42 AM #56936 quote

Vonasi
Moderator

Master

I’m with Brisvegas on this one. I spent a fair amount of time dedicated to coding averaging down strategies and my conclusion was that they were money making machines….. until you ran out of money. It is called catching a falling knife for a very good reason. Black swan moment will kill you. Averaging up is a far better method if you want to add to a position especially if you have locked in profit or set your stop loss at break even as then you are only betting money that you have already won.
Author

Posts