Help with hedging strategy !
loks:
Hi All,
I'm totally newbie in MT4 compiling, thus i'm seeking for some help.
I'm trying to implemente a strategy whose logic is as follows (i've found the following article on a website, it's not my homeworking) ;-):
1. Open a position in any direction you like.
Example: Buy 0.1 lots at 1.9830. A few seconds after placing your Buy order, place a Sell Stop order
for 0.3 lots at 1.9800.
2 - If the TP at 1.9860 is not reached, and the price goes down and reaches the SL or TP at 1.9770.
Then, you have a profit of 30 pips because the Sell Stop had become an active Sell Order (Short) earlier
in the move at 0.3 lots.
3 - But if the TP and SL at 1.9770 are not reached and the price goes up again, you have to put a Buy
Stop order in place at 1.9830 in anticipation of a rise. At the time the Sell Stop was reached and became
an active order to Sell 0.3 lots, you have to immediately place a Buy Stop order for 0.6
lots at 1.9830.
4 - If the price goes up and hits the SL or TP at 1.9860, then you also have a profit of 30 pips!
5 - If the price goes down again without reaching any TP, then continue anticipating with a Sell Stop
order for 1.2 lots, then a Buy Stop order for 2.4 lots, etc... Continue this sequence until you make a
profit. Lots: 0.1, 0.3, 0.6, 1.2, 2.4, 4.8, 9.6, 19.2 and 38.4.
6 - In this example, I've used a 30/60/30 configuration (TP 30 pips, SL 60 pips and Hedging Distance
of 30 pips). You can also try 15/30/15, 60/120/60. Also, you can try to maximize profits by testing
30/60/15 or 60/120/30 configurations.
7- this strategy works best when the market is moving up or down.
---
Now, this is the logic. I've been trying this on manual trades on EURUS GBPUSD and USDJPY since 10 days now and i must say it's working pretty good so far. The worste series went up to three bouncings on EURUSD (started with 1 lot, then 3, 6 and 12 lots - then it closes on gain with the 12 lots - this has happened twice so far). But I must say i placed initial orders irrespective of watching market conditions (this is to say that if you are a little bit more cautious in placing your initial orders you might end up with even less risks).
The piece of strategy i wrote was a boilerplate of a possible strategy resembling the logic above.
I think that a perfect strategy should foresee:
1) Starting on given time of the date (when market is moving);
2) Placing the first 1 lot order: buy or stop, following the trend;
2.1) eventually, linking the orders to some indicator (momentum or similars);
3) when the first order is placed, contextually placing EL or ESorder on 30 pips distance with 3 lots;
4) if the first order is closed in gain, removing the EL or ESorder previously placed and restart the strategy; or
5) if the 3 lots EL or ES order is triggered, placing new ES or EL order on 30 pips distance with 6 lots;
6) if the 3 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
7) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 12 lots;
8) if the 6 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
9) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 24 lots;
and so on...
One other possibility could be not placing ES or EL limit orders, instead heding the position on reaching the stop loss of the opened pending trade. This way, though, if system crashes, if are not "covered" in case of losses, since it has to check the open position on a tick-by-tick basis...
This is it, any clue?
thanks to all
Hi All,
I'm totally newbie in MT4 compiling, thus i'm seeking for some help.
I'm trying to implemente a strategy whose logic is as follows (i've found the following article on a website, it's not my homeworking) ;-):
1. Open a position in any direction you like.
Example: Buy 0.1 lots at 1.9830. A few seconds after placing your Buy order, place a Sell Stop order
for 0.3 lots at 1.9800.
2 - If the TP at 1.9860 is not reached, and the price goes down and reaches the SL or TP at 1.9770.
Then, you have a profit of 30 pips because the Sell Stop had become an active Sell Order (Short) earlier
in the move at 0.3 lots.
3 - But if the TP and SL at 1.9770 are not reached and the price goes up again, you have to put a Buy
Stop order in place at 1.9830 in anticipation of a rise. At the time the Sell Stop was reached and became
an active order to Sell 0.3 lots, you have to immediately place a Buy Stop order for 0.6
lots at 1.9830.
4 - If the price goes up and hits the SL or TP at 1.9860, then you also have a profit of 30 pips!
5 - If the price goes down again without reaching any TP, then continue anticipating with a Sell Stop
order for 1.2 lots, then a Buy Stop order for 2.4 lots, etc... Continue this sequence until you make a
profit. Lots: 0.1, 0.3, 0.6, 1.2, 2.4, 4.8, 9.6, 19.2 and 38.4.
6 - In this example, I've used a 30/60/30 configuration (TP 30 pips, SL 60 pips and Hedging Distance
of 30 pips). You can also try 15/30/15, 60/120/60. Also, you can try to maximize profits by testing
30/60/15 or 60/120/30 configurations.
7- this strategy works best when the market is moving up or down.
---
Now, this is the logic. I've been trying this on manual trades on EURUS GBPUSD and USDJPY since 10 days now and i must say it's working pretty good so far. The worste series went up to three bouncings on EURUSD (started with 1 lot, then 3, 6 and 12 lots - then it closes on gain with the 12 lots - this has happened twice so far). But I must say i placed initial orders irrespective of watching market conditions (this is to say that if you are a little bit more cautious in placing your initial orders you might end up with even less risks).
The piece of strategy i wrote was a boilerplate of a possible strategy resembling the logic above.
I think that a perfect strategy should foresee:
1) Starting on given time of the date (when market is moving);
2) Placing the first 1 lot order: buy or stop, following the trend;
2.1) eventually, linking the orders to some indicator (momentum or similars);
3) when the first order is placed, contextually placing EL or ESorder on 30 pips distance with 3 lots;
4) if the first order is closed in gain, removing the EL or ESorder previously placed and restart the strategy; or
5) if the 3 lots EL or ES order is triggered, placing new ES or EL order on 30 pips distance with 6 lots;
6) if the 3 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
7) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 12 lots;
8) if the 6 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
9) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 24 lots;
and so on...
One other possibility could be not placing ES or EL limit orders, instead heding the position on reaching the stop loss of the opened pending trade. This way, though, if system crashes, if are not "covered" in case of losses, since it has to check the open position on a tick-by-tick basis...
This is it, any clue?
thanks to all
I try to write program for stratagy similler to this one. Insted of 30pip distance try 10 and lot size 2,4,8....I am new to MQL4 Can you write EA for this Please email
Maybe just play the roulette wheel, playing red & black, covering 0 & doubling each losing bet. You'll keep coming out ahead ... for a while. Search for 'martingale' ... and maybe 'infinite capital'
Wouldn't work man. This Idea that price cannot bounce with a 30-pip range {0.1, 0.3, 0.6, 1.2, 2.4, 4.8, 9.6, 19.2 and 38.4.}_10-Times is just flawed. I've tested it. One of the things I've learned -my-year- working on Forex-Systems is the bigger the Lots in relative to the account size, the more it's like a poker player going all in all the time. In your example, with even a 10,000$ account and 500:1 leverage most systems gets into trouble when they hit the 4.8 Lots area. Anyting, above that and it'll not be able to stomach much adverse movements. Most ppl cannot purchase 38.4 lots, so this must be for a macro account, which would translate into a waste of time for most.
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I'm totally newbie in MT4 compiling, thus i'm seeking for some help.
I'm trying to implemente a strategy whose logic is as follows (i've found the following article on a website, it's not my homeworking) ;-):
1. Open a position in any direction you like.
Example: Buy 0.1 lots at 1.9830. A few seconds after placing your Buy order, place a Sell Stop order
for 0.3 lots at 1.9800.
2 - If the TP at 1.9860 is not reached, and the price goes down and reaches the SL or TP at 1.9770.
Then, you have a profit of 30 pips because the Sell Stop had become an active Sell Order (Short) earlier
in the move at 0.3 lots.
3 - But if the TP and SL at 1.9770 are not reached and the price goes up again, you have to put a Buy
Stop order in place at 1.9830 in anticipation of a rise. At the time the Sell Stop was reached and became
an active order to Sell 0.3 lots, you have to immediately place a Buy Stop order for 0.6
lots at 1.9830.
4 - If the price goes up and hits the SL or TP at 1.9860, then you also have a profit of 30 pips!
5 - If the price goes down again without reaching any TP, then continue anticipating with a Sell Stop
order for 1.2 lots, then a Buy Stop order for 2.4 lots, etc... Continue this sequence until you make a
profit. Lots: 0.1, 0.3, 0.6, 1.2, 2.4, 4.8, 9.6, 19.2 and 38.4.
6 - In this example, I've used a 30/60/30 configuration (TP 30 pips, SL 60 pips and Hedging Distance
of 30 pips). You can also try 15/30/15, 60/120/60. Also, you can try to maximize profits by testing
30/60/15 or 60/120/30 configurations.
7- this strategy works best when the market is moving up or down.
---
Now, this is the logic. I've been trying this on manual trades on EURUS GBPUSD and USDJPY since 10 days now and i must say it's working pretty good so far. The worste series went up to three bouncings on EURUSD (started with 1 lot, then 3, 6 and 12 lots - then it closes on gain with the 12 lots - this has happened twice so far). But I must say i placed initial orders irrespective of watching market conditions (this is to say that if you are a little bit more cautious in placing your initial orders you might end up with even less risks).
The piece of strategy i wrote was a boilerplate of a possible strategy resembling the logic above.
I think that a perfect strategy should foresee:
1) Starting on given time of the date (when market is moving);
2) Placing the first 1 lot order: buy or stop, following the trend;
2.1) eventually, linking the orders to some indicator (momentum or similars);
3) when the first order is placed, contextually placing EL or ESorder on 30 pips distance with 3 lots;
4) if the first order is closed in gain, removing the EL or ESorder previously placed and restart the strategy; or
5) if the 3 lots EL or ES order is triggered, placing new ES or EL order on 30 pips distance with 6 lots;
6) if the 3 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
7) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 12 lots;
8) if the 6 lots order is closed in gain, removing all the ES or EL pending orders and restart the strategy; or
9) if the 6 lots ES or EL order is triggered, placing new ES or EL order on 30 pips distance with 24 lots;
and so on...
One other possibility could be not placing ES or EL limit orders, instead heding the position on reaching the stop loss of the opened pending trade. This way, though, if system crashes, if are not "covered" in case of losses, since it has to check the open position on a tick-by-tick basis...
This is it, any clue?
thanks to all