Is it possible within an EA to program a system based on the rules below and also the automatic drawing of a fib grid for a recent identified swing? I’ve read and looked at a fare few EAs but haven’t found one that comes close to what I do manually.

System is based upon the trading of 2 lots.

Setup:
On 5 min chart identify largest most recent swing of at least 50 pips.
Plot Fib grid between these points.
When price retraces to 61.8% level minus 2 pips then place order for 2 lots.
Initial stop loss is at 78.6% level + 2 pips.
Target for first lot is at 23.6% level + 2 pips & move stop to break even on other lot.
After that use trailing stop of 30 pips, readjusted after every 5 pip move on remaining lot

Filter:
Use RSI(14) on 4H chart. Must be >=50 to enter a Long else ignore any setup signal. Opposite for SHORT.

I have been using a manual system roughly based on the above rules for a while now with some success and would like to automate it.

Ideally I would an EA that could do the above. Ideally it would draw the fib grid as explained above. (Is this possible with an EA?). I use fractals on a 5 min chart to work out the swing highs/lows to position the fib grid over that is in excess of 50 pips.

Also it would be nice if the EA displayed a text label on the 5min chart each time the RSI for the higher time frame (4H) moved above/below 50 showing “UP” or “DOWN” to indicate the direction of the trend and thus what trades will be placed, either Long or Short only.

I don’t mind having a go at programming this myself but just wanted to have a bit of feedback if what I envisage it working like is achievable or not. Any comments greatly appreciated?

for most of thoose rules, they sound a lot like what i began coding with.

if you want to start becoming farmiliar to coding, a good place to start, (also where i began learning coding), is at this link:

http://sufx.core.t3-ism.net/ExpertAd...ndex.html#Buy1

i wouldn't recomend using the forem on there, but by building your simpler systems there, and analysing how this guy has the code set up, really helps in boosting a little extra knowledge in coding.

hope it helps!

__________________
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REMEMBER, "Genius is nothing but a greater aptitude for patience." –Benjamin Franklin

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Have a simple ea you just can't figure out how to code??? Odds are you can make it here. Just remember to push complete when you're done, NOT SAVE!!!
http://sufx.core.t3-ism.net/ExpertAdvisorBuilder

Freeman, what has been your winning pecentage with this approach manually, what pairs does it seem to work best with and is the trail stop your only exit? This would not be the easy to program for the uninformed - I may be able to help.
DeadEye96

DeadEye96,

I only trade this on the 3 main currency pairs (EUR/USD, USD/JPY, GBP/USD) and have been doing so for around 3 months now. Based on that win/loss percetage is around 65% and risk/reward ratio works out around 2.2. I can't do any thorough backtesting to get any better stats as unable to program the rules that don't lend themselves very well to backtesting hence the initial posting.

I do in fact use other criteria for exiting other than the trailing stop you queried (and also for entering as well). I place close atention to s/r, trendlines, pivot levels and also do no trade it approaching news. However, some of these other elements would be even more complex to programm a rules based EA around so I was just trying to get the nucleus of the system programmed as an EA first and then look to add other factors later.

Have you come across other EAs that automaticaly draw fib levles and trade off them? Be very interested in any help you could offer.

Eaglehawk,
Thanks for the link to the site. I'll have a look at it to see if it has any examples of doing anything so complex as what I am after.

The only EA I am familiar with that sells off at prescribed Fib levels is the 4H-Vegas system that has been posted on lightpatch.com/forex. You may want to check it out. It uses a MA tunnel approach. I am sure that other Fib sell-off EA's exist though.

Regarding creating an EA, a suggestion. Define all of the indicators and trading rules to the point that you can build a flow chart/decision tree with verification through notes made on all of your manual trades. If you have complex decision rules, it is much better to define as many as possible up front rather than add them piecemeal. Some adjustments will probably be needed later anyway such as timefilters, etc.. This way, it will be much easier for someone to program your EA.