Gridtrading from daily open

Post by **Gertje** » Sat Mar 26, 2016 12:31 am

I've been thinking about gridtrading a lot lately, and tried all kind of crazy idea's.
Some thoughts about it;
- It is capable to achieve a huge amount of pips.
- When running against you, it can blow an account in no time.
- GBPJPY is an animal in regards to volatility.

I tried something this afternoon and a lightbulb went on in my head and refuses to go out.....
Tonight after dinner I did some visual testing and number crunching.
I put a 20-pip grid on the H1 of the GBPJPY and started counting levels where priceaction (PA) went and reversed.

GBPJPYH1.png

On the 15th march for instance, PA went down 2 levels, back to the daily opening (DO) and further up 1 level, back to the DO and down 16! levels. The buy s now 16*20=320pips in DD. The sells however, are in a whopping 2400pips profit! This leaves a grand totall of over 2000pips for the day!
With a 100pips basket jumpstop this can be achieved. Close all and start again tomorrow.

This is an extraordinairy example, of course.

I did the Numbers from 01-01 till today, and came up with the following;
14 zero/ small loss (might be avoided, have some idea's already)
100+ pips; 3 times
200+ pips; 5 times
300+ pips; 5 times
400+ pips; 9 times
500+ pips; 4 times
700+ pips; 5 times
800+ pips; 3 times
1000+ pips; 3 times
1100+ pips; 1 time
1200+ pips; 2 times
1500+ pips; 1 time
1800+ pips; 2 times
2000+ pips; 1 time
2100+ pips; 1 time
4800+ pips; 1 time (that's 50% in ONE DAY with 0,01 lot per $1000 balance)

I didn't add it all up, but would be more than happy with half of it...... :!!:

Since it's fairly easy to demo this, I will start next week and come back with some results.
The basic idea;
- Set a grid after rollover, 20 buys above, and 20 sells below DO
- Let priceaction do it's thing
- Basket jumpstop @100pips
- Rinse and repeat next day

Have a good Easter weekend everybody!
.

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Edit by SH: Greedy Wotsit is the EA I have developed to auto-trade this. You will find it in post 2.
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Edit by Gertje 14-04-2016: added spreadsheet by Bruster400 , see http://www.stevehopwoodforex.com/phpBB3 ... 90#p138946 for more details.

Post by **SteveHopwood** » Sat Mar 26, 2016 12:35 am

SERIOUS WARNING

Most Forex traders lose all their money.
Using the robot posted here in trading Forex does not guarantee success.
Trading this robot could lead to serious financial loss.
Trading this robot without understanding its underlying trading strategies guarantees traders will lose their money.
This is not a set-and-forget ea; there is no such thing and anyone who tries to claim there is, is either stupid or lying. This ea requires frequent manual intervention.
At best, a trading robot is only 90% as good as the manual strategy it trades. At best. At worst, it can be much less effective. If the strategy is rubbish, so is the robot.
To trade this robot, you have to understand:
- How to use EA's.

MAKE SURE YOU READ THIS POST http://www.stevehopwoodforex.com/phpBB3 ... 41#p111241 There was a Forex bloodbath on Jan 15th 2015 that you need to know about.

Read post 1 and the rest of the thread to see what Greedy Wotsit gets up to.

This is the spec that Gertje sent me to code:
- Set a grid, say 10 trades each direction
- Expand the grid at its outer limits when last trade -1 is reached
- Gridspacing input in pips or ADR
- Dollup lotsizing regarding balance/ equity
- Global TP in pips or ADR
- Global SL as a multiple of DistanceBetweenTrades
- Jumpingstop possibility? [Not sure about this one]
- Tradinghours input
- All your usuall shell stuff

I have not implemented Global TP as ADR. We shall see if that might be helpful. I have not implemented the jumping stop - I can do later on if it looks as though it might be helpful.

Limit the trades in the grid to 5 if you are using ATR to calculate DistanceBetweenPips. The more trades there are in the grid, the closer they are.

Check the tradingHours input. They are correct for me in the UK; not a lot of use in upside down land etc.

There is a moving average inputs section. This is an idea by TraderJoeForex. Only trade following a cross of the 5 EMA by the market. He finds this helpful on the D1.

Have fun

Matters of general interest
Go here to download and run the script that will fill your platform's missing chart history: http://www.stevehopwoodforex.com/phpBB3 ... f=15&t=254
Read this post:
http://www.stevehopwoodforex.com/phpBB3 ... p?f=6&t=78 Newbie traders, read this for inspiration and warning. Those of you who have suffered losses, read it for inspiration.

Masterly summary of hedging: http://www.forexfactory.com/showthread. ... ost4977179

EA coding
I receive may requests to code EA's. Traders, if I code your EA for free, then I will share it here. If you want me to code your EA without sharing, then my fee is $100 payable into my paypal account. I explain why at http://www.stevehopwoodforex.com/phpBB3 ... ?f=15&t=79, at the bottom of the post.

Useful utilities/EA's/scripts

Multi purpose trade manager: http://www.stevehopwoodforex.com/phpBB3 ... ?f=21&t=64
Account equity analyser: http://www.forexfactory.com/showthread. ... ost4709098, which includes a template for both USD and the Euro.
Past-trades display indi by squalou; shows a graphical display of the success/failure of trades in your History tab. Breathtaking piece of work. http://www.forexfactory.com/showthread. ... ost3830610
My shell EA – the code I use to produce EA's so quickly. http://www.stevehopwoodforex.com/phpBB3 ... ?f=15&t=79

-

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Post by **keydcuk** » Sat Mar 26, 2016 9:21 am

Hi Gertje,

I'm glad to see that there is someone else you has a healthy obsession of grid trading.

One of my thoughts mentioned in GW is to trade the daily open. This is just one of my ideas in order to maximize trade capabilities and also minimize DD. Although Steve made it clear that he would not make changes to GW unless we were able to prove an idea works as to him it is only a toy, I think that there is still a lot of capability within GW and a trade manager that can enable and disable other EAs in certain timed conditions.

Watch this channel. I hope that something will come out of all this grid trading experimentation. I like the idea of trading based on PA and let the market do its thing.

I really like the GBPJPY, always have; but if you want to try something different in your tesing, the GBPAUD seems to be possible a second contender as well.

Cheers!

Hope you are having a good weekend.

Daniel

Post by **SteveHopwood** » Sat Mar 26, 2016 9:42 am

You can use GW to send and manage the trades. Use Paul's trading hours feature with a tiny trading window.

The DO is 20.00 here in the UK, or will be after the clocks move forward one hour on Sunday night. I would give myself a 1 minute window to send the grid but also a few minutes to avoid the wild spreads that accompany rollover, so something like:
tradingHours="+20.10,-20.11";

would do the job trading from my home computer.

I think you can set up the other inputs so GW will behave as you require. Sing out if not and I will make necessary modifications.

Post by **Gertje** » Sat Mar 26, 2016 10:25 am

Thanks Steve,

I thought about GW for sending the grid, set it up just to do so.
Added MPBM to another chart to do the trailing part.

No need to make adjustments right now before there is proof it actually works.
Have been looking at 2015 this morning, 70% of the day's it hits 100pips before I'm awake.

Might just as well put up higher lotsizes and enjoy the rest of the day....

Just my luck that I thought about this right before a bank holiday......

I bloody hate weekends.....

Post by **Gertje** » Sat Mar 26, 2016 7:24 pm

keydcuk » Sat Mar 26, 2016 9:21 am wrote: I really like the GBPJPY, always have; but if you want to try something different in your tesing, the GBPAUD seems to be possible a second contender as well.

I had a brief look, and GBPAUD seems to behave like GBPJPY, and also GBPNZD doing similar movements.
Once I get the setup right, I'll start testing these as well.

DNTme · Post by **DNTme** » Mon Mar 28, 2016 8:39 am

amaizing ideea...will start demo-ing manually on GJ and GA. :hi:

actually, i'll do it on GA....too many people testing GJ

Post by **Gertje** » Mon Mar 28, 2016 4:48 pm

Some small problems with GW and BasketTradeManager, feel confident for tomorrow after changing settings so GW won't re-send grids.
Also changed to SAPBM after the one I used only set BE and didm't bother to do the jump steps. Basket reached 500pips initially, so 400 would have been banket.

[I would sign for 2,5% daily immediately though]

GBPJPYH1.png

Post by **SteveHopwood** » Mon Mar 28, 2016 5:02 pm

Attached is a set file that will set up GW to only send the one grid. You will need to change the tradingHours input to suit your time zone, and your lot size..

+240 today, GJ.

bazze · Post by **bazze** » Mon Mar 28, 2016 6:26 pm

Steve, I know that you don't like question about the time settings

(So, why the heck do I dare to ask????????

)
But, here it goes

...I see that your DO is 20.00 London time.
My GMT is +1, so I shall set my DO from 21.00, or? (I'm using GP)