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Originally Posted by newdigital
Stochastic is showing us uptrend or downtrend. But I did not see any right signal which was filtered by Stochastic. I am using it just to secure myself against something.
As to the signals so it may be any signals to be first. I tried to see everything how it was developed on the history.
I may say it in more simple way:
Buy.
BT2sig buy together with BT1sig buy or BT1Stop buy on the same closed bar.
OR
BT1sig buy together with BT2sig buy or BT2Stop buy on the same closed bar.
This uptrend should be confirmed by Stochastic (on the same closed bar) and by I-XO (on the same closed bar or just wait one closed bar more for the confirmation).
Sell.
BT2sig sell together with BT1sig sell or BT1Stop sell on the same closed bar.
OR
BT1sig sell together with BT2sig sell or BT2Stop sell on the same closed bar.
This downtrend should be confirmed by Stochastic (on the same closed bar) and by I-XO (on the same closed bar or just wait one closed bar more for the confirmation).
Exit on SAR.
All the settings of SAR etc you may see if you use template. Download all the indicators in /indicator folder, compile the indicator using MetaEditor (or just wait intil MetaTrader will compile it automatically), place template file in /template folder, open MetaTrader, open M30 chart, right mouse click on the chart, select "Template", select our BT template. And all the settings will be adjusted automatically (except width of the lined on the chart but you may change the width from zero to 1 for example).
Sometimes I use EMA 34 but just to estimate reversal. It makes me busy during the waiting for the signals.
As to zones so it is my zones. People can not trade manually 24 hours per day. My time is Alpari time server plus 1. So if 8 o'clock on the chart it is 9 am for me in real life. But you may have your own zones. And it should be some market opened and so on. So you may change the zones (there is indicator and everybody may select two different zones per day or one trading zone devided by two if you are having lunch for example). Zones are your working hours if you understand forex as a job.
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Above mentioned rule is the rule #1.
Rule # 2 is almost the same. The only changes are the following:
We must not wait for the I-XO confirmation. If the signal was not confirmed by this indicator on the same closed bar with the signal we are not trading.
It is written in the rule #1: "... by I-XO (on the same closed bar or just wait one closed bar more for the confirmation)."
Rule #2 is changing this to the following: "...by I-XO (on the same closed bar)."
So we are not waiting for the I-XO confirmation. The second signal should be confirmed by I-XO and Parabolic SAR on the same full close bar with the signal. Also please note that I use different from default settings of Parabolic SAR. Just download all the indicators and use template to have all the settings (you may find it somewhere in this thread).
And as we know there are good signals and not very clear signals (confirmed I mean). Good signal is the following: we see BT1sig and BT2sig on the same closed bar (it was yesterday on USDJPY only - see the images in the posts above in this thread).