Hi All,

I have been using CatFX with success as have others, I am currently making a couple of small adjustments for my own use from observations I have made.

Before I carry on my research could I ask, has there ever been any suggestion that the StepMA_Stoc indicators repaints the past to any extent, only reason I ask is that I put some horizontal lines on the GBPUSD chart yesterday going back 6 months where the bias changes from buy to sell and sell to buy and some of the lines are now in the wrong place by a candle or two.

Not sure if this is down to me using a different feed or down to the step indicator.

Any comments would be much appreciated.

Once I have finished studying I will post the details in case it can help anyone else, but firstly I need to know that StepMA's are stable.

Hi,

as some of you mentioned such a behaviour before....

Kalenzo (HistoStepMA_Stoch) and ShadowWz (aNina) explained me, both indicators are based on the original StepMA_Stoch from igorad. ShadowWz told me that the construction of the StepMA_Stoch is based on the relative distance between two stepma lines and because of they are not 100%-stable over the time, the indicators do the same.

I do not know if that is correct and what igorad will say to this.

I adressed him once before with that issue on Histo and aNina, but the two indicators are not from him, so he forwarded me to them.
Now I first will follow if the StepMA_Stoch will have the same behaviour and when this is is confirmed I will ask igorad again for that issue.

So if someone has detailed screenshots with Original StepMA_Stoch changed his values from now to the past, please post it to me.

This issue makes it a little difficult to do some confident automated backtests. But for trading we look on the current signals at the current time so this should not be incising for that.

mibl

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Thanks mibl,

I imagine any re-adjusting by the indicator would only be small so should not have that big an effect.

Yes rollingstone,

that is a backtesting issue and not a trading issue. As I can see it up to know there are only small divergences -> so we should keep that in mind - but do not take this as a reason not to trade.

mibl

__________________
Never trade with money which you need to make a living *** I trade with my money based on my decisions *** Please decide for yourself.

Hi Mibl
I don't even think it is a problem for backtesting. Only for visual backtesting. Because in an automated backtest the indicator values are calculated for the specific moment in time where the backtester currently is making descisions. So when the backtester makes a buy or a sell at point x (for example x = 2nd of august 2005) it is doing it with the indicator value of that moment for x and not with the value that the indicator might have at some point in the future for x.
Eric

Thanks eric - that are good news for that issue
mibl

__________________
Never trade with money which you need to make a living *** I trade with my money based on my decisions *** Please decide for yourself.

Yes. Of course i can't guarantee it's like this for every program. But it's my experience with MT4 backtesting. And i think any backtesting program that does not work like this is not helpful, no real picture.
But if somebody has different experiences, please say so.

Basically I am currently checking where the red thick slow lines on the stepMA_Stoc both give a new direction within a few candles, therefore at least identifying the current trend if not trade entry points.

Do you think this is valid with historical charts with the small amount of "redrawing" of the indicators or am I wasting my time.

Looking through the past few months they give very good turning points.

Attached Images

gbp.gif (40.3 KB, 203 views)

As you can see by these GBP charts for the past 2-3 months, generally excellent for showing the general direction of the market, but can the historical levels of the stepMA_Stocs be trusted, I hope so.

Attached Images

	gbp2.gif (49.2 KB, 139 views)
	gbp3.gif (47.9 KB, 90 views)
	gbp4.gif (42.3 KB, 102 views)

EURUSD
10:00 cet: Level 1 short @1.2234, made a low @1.2224 (>10:00cet) => could be closed during the 11:00cet candle when HistoStepMAStoch got green and the counter signal was beeing created. Latest close on following contrary signal which should be in the area of the initial stop loss. => -34 pips max. lost (ex spread)
11:30 cet: Level 1 long @1.2265, made a high @1.2324 (>20:00cet) => +59 pips maximum range (ex spread)

GBPUSD
11:30 cet: Level 3 long @1.7713, made a high 1.7811 (>20:00cet) => 98 pips maximum range (ex spread)
[14:30 cet: Level 4 long (possible reentry) >1.7747, made the same high] *)

USDCHF
11:30 cet: Level 3 short @1.2757 (but entry was about 56 pips away from ema50), made a low @1.2708 (>15:00cet) => 49 pips maximum range (ex spread)
[14:30 cet: Level 4 short (possible reentry) <1.2752, made the same low] *)

*) Level 4 are for a reentry, even more risky - need thrength in themovement

Comment about the indicator inexcactness in the past: We should concentrate again more on trading than on some marginal discrepancies of an indicator in the past - we trade at the moment when the signals come true.
The signals worked up to now quite good - even with these discrepancies. These are one factor of impreciseness as different datafeed too.

mibl

__________________
Never trade with money which you need to make a living *** I trade with my money based on my decisions *** Please decide for yourself.