Job finished
Specification
The expert advisor will use the weekly pivot indicator and either buy above the weekly pivot level to the next level(R1) or sell below the weekly pivot level to the next level (S1). This EA will be able to place stop losses and take profit based on prior weeks support and resistance levels.
Please refer to documentation as specific rules must be followed to execute the trade. No trade will be held longer than a week, any trade will be closed prior to close of market on Friday at 430pm (EST).
Requirements Document:
The purpose of this document is to layout specific requirements
Pivot Level Trading Plan:
Indicators used:
Pivot Level Indicator with 7 support and resistance levels:
S1 = Support 1
S2 = Support 2
S3 = Support 3
WP = Weekly Pivot
R1 = Resistance 1
R2 = Resistance 2
R3 = Resistance 3
Buy Order Placement:
In order to be a buy order the following conditions must be met:
· The price must close above the weekly pivot (WP)
· 1 bar must fully close above the weekly pivot (WP)
· The barmustclose above the opening bar for that week (the very first bar for that week
· Barmustbe a full/complete buy bar (no indecisive or small bars)
Afterallthe above conditions have been met then the following will apply to the order placed:
· Lot size of 14.0 will be placed (should be adjustable/able to alter based on stop loss placement)
· Stop loss for the order will be placed be 20 pips below weekly pivot (WP) for that week
· Take profit will be placed at resistance 1 for that week OR the system will look back 5 weeks in the past to look at the “best” place for take profit placement
Order will be closed if the take profit OR the stop loss has been executed for that trade
Example:
1. This denotes that this is the first opening bar of the week
2. This denotes that this is the bar that the trade should be entered on. This is a long buy bar that is above the blue line weekly pivot (WP) for that week
3. This denotes that the stop loss should go below 20 pips below the blue line weekly pivot (WP) for that week
4. This denotes that the take profit should be placed somewhere in that region belowR2/R3 week of either of the previous weeks. The system should be able to look at the current week for the pivot levels that are formed R1, R2 or R3 to see if a take profit will be suitable there OR look back 5 weeks to see if it will be better suited there. For this example it is better to place the take profit somewhere in the past (where the red oval highlights) R3 for the week of June 1stto June 8th, R2 for the week of June 8thfor June 18thor R1 for the week June 18thto June 22th.. There are three possible cases to place the take profit in this situation which have been outlined by the red oval.
Sell Order Placement:
In order to be a sell order the following conditions must be met:
· The price must closebelowthe weekly pivot (WP)
· 1 bar must fully closebelowthe weekly pivot (WP)
· The barmustclose below the opening bar for that week (the very first bar for that week
· Barmustbe a full/complete buy bar (no indecisive or small bars)
Afterallthe above conditions have been met then the following will apply to the order placed:
· Lot size of 14.0 will be placed
· Stop loss for the order will be placed be 20 pips above weekly pivot (WP) for that week
· Take profit will be placed at support 1 for that week OR the system will look back 5 weeks in the past to look at the “best” place for take profit placement
Order will be closed if the take profit OR the stop loss has been executed for that trade
Example:
1. This denotes that this is the first opening bar of the week
2. This denotes that this is the bar that the trade should be entered on. This is a long sell bar that is below the blue line weekly pivot (WP) for that week
3. This denotes that the stop loss should go below 20 pips above the blue line weekly pivot (WP) for that week
4. This denotes that the take profit should be placed somewhere in that regionaboveS1 week for that week. The system should be able to look at the current week for the pivot levels that are formed S1, S2 or S3 to see if a take profit will be suitable there OR look back 5 weeks to see if it will be better suited there. For this example, it is better to place the take profit somewhere for that week (where the red oval highlights) S1 for the week of June 4THto June 8th. The System can look back in the past at S3 week for the week of May 21stto May 25thor S1 for May 28thto June 1st.