System HA001 Legend PDF Print E-mail
Written by David Durant   
Monday, 08 September 2008

 

Overview

This system is basically a trend-following system.
When an Enter signal is given (either long or short), a total of 3 trades will be entered (always on the open of the day).  The size of each trade depends on how much equity is in your account: each trade may be one mini contract, or it may be 10 full contracts.
After entering the market, trades will be dropped if either the ProfitTarget or the StopPrice is hit.  If the Stop is hit, all trades will be exited.  If a ProfitTarget is hit, a single trade will be dropped to take that trade's profit, unless it is the last trade.  The last trade will be held until the StopPrice is hit.

 

Legend

1. EnterCount is the number of trades currently held.  It will start off at 3, and decrease to zero.

2. Trend is the current direction of the trend as identified by the System.  The more positive the number, the stronger the rising trend, and the more negative the number, the stronger the falling trend.  Trades will only be taken in the direction of the trend (at the time of entry).

3. Here the security symbol is displayed by MetaStock.  In this case, it is GBPUSD (British Pound vs. US Dollar).

4. These are two moving averages which help to determine entry points.  The blue line is the Slow Trend, and the violet line is the Fast Trend.  These moving averages are not used to determine exits, only entries.

5. The solid red line is the StopPrice.  When in a trade, and the price hits this level, all trades are exited.  This level will be moved as the price moves in our favor and we hit the ProfitTarget.

6. The solid green line is the ProfitTarget. When the price hits this level, one trade will be dropped (if it's not the last trade), and the StopPrice and ProfitTarget will be moved in the direction of the trade.

 7. EnterPrice. The Expert Advisor indicators in MetaStock do not show the exact price they relate to, so this line is to display the price at which a market entry is made.

8. ExitPrice.  This indicator shows the price at which an Exit or Stop is made.

9. The Stop indicator shows where a trade is exited at a loss.  All trades will be exited at this point.

10. The Exit indicator shows where a traded is exited at a profit.  One or more trades may be exited at this point.

11. The green up arrow is a long entry indicator.  It shows the start of a new trade in the long direction.

12. The red down arrow is a short entry indicator.  It shows the start of a new trade in the short direction.

Last Updated ( Thursday, 09 October 2008 )