Hi Guys
Tested demo set-ups last week with a stoch filter strategy on M15 and H1 timeframes. See attached images for stoch settings used. (note fast settings as per NB10.7)
Results
M15 +700 pips closed trades -30 pips open trades
Big winners EC, GCHF big loosers GJ, UJ, EJ
H1 -333 pips closed trades -151 pips open trades
Big winners EJ, UC big loosers EC, EA, ENZD
Settings out of the box except stoch and trade management which was kept simple with a SL at 100pips and Breakeven and Jumping Stop setting set at a guess for each timeframe. Trend trading only.
The stoch settings are using two higher timeframes attempting to filter ‘the best’ of the SSB trend signals. The near TF is set at 70 and 30 and the higher TF is set at 50 and 50.
Comment:
This EA is truly a tiger by the tail beast it has enormous capability, but as with all trend trading knowing when to stop entering and begin entering is the key. SSB does pretty damn well all on its own, but I think we need a way to limit damage when our trading timeframe is out of sync with PA ranging, retracing or reversing.
Next week I will use just one stoch filter which is at least two timeframes higher than the trading timeframe. Using the stoch close to trading timeframe mainly tries to second guess or improve on what SSB is doing which is good sometimes and not so good at other times. I am not confident we are going to improve on the actual SSB signal with this approach. However with the higher TF it is worth a further look as this week in some difficult ranging conditions my M15 trial was able to minimize bad trades.
One interesting observation from this week was the EUCAD pair. It was a winner on M15 and a looser on H1 with the same trading strategy. This example illustrates how PA works in waves of varying frequency. We never know when that frequency is going to change. To win at this game it is about minimizing the bad periods while being in the game to take the wins. In the next few weeks I will continue with the higher TF stoch filter idea but am looking at some other things to tame the beast.
What I really want to do with the higher TF stoch filter is for it to signal trade when the values are heading in the right direction of the trade and not trade when the values are going opposite the trade. This probably needs to be done on a candle close compared to X candles back calculation. The current method in SSB of just using overbought or oversold level is not really ideal. Bobs fast stoch indy in 10.7 approximates this idea going with the higher timeframe 'current direction' and proved powerful once trade directions were set for day or week or session. Note that we have complete control over trading times in SSB so could hold off until certain hour etc.
Bug notes: – I didn’t find any but I did have one instability event on Friday with one of the demos crashing – have no idea if it had anything to do with the EA. As far as I can work out the stoch triggers worked but with ‘every tick mode’ on it can be a little hard to test with backward visual testing. I think OK though.
Cheers
Vince |
