When I posted to this thread I came with one idea to create some kind of signal system (EA or indicator producing the trading signals) based on Ichimoku D1 and support/resistance. To catch big movement for example. Or to catch 20 pips with minimum risk.

It is just an idea but I think we should have some kind of signal system in our forum.

I have no idea how long it may be implemented.

It is clear about Ichimoku for me but I am still thinking about support/resistance. Which indicator or system should be used for this support/resistance? May be Maksigen indicator (stop orders)? Not Fibo. It should be some support/resistance based.

I think we should create the separated thread about it to develop.

Hi ND, me again.
In currency trader magazine they did backtest with ichimoku and paralel test with some other moving averages and they came to the point to say that ichimoku is to much laging.I have this curr.trader in my computer but i have to look in what number was that if you lie to read it before developing anything based on ichimoku.


About big moves : what is big move ? 1000 pips with 0.1 lot or maybe 50 or less pips with 2,3,5,10 lots

eur/usd

I don't know how to tell what the time is, it's just the default setting from interbankFX whatever that is.

this is part from curency trader magazine from 03.2006.


Using look-back periods of 9 and 26 days, the Ichimoku line crossover and
moving average crossover were comparable in terms of the number of trades,
winning percentage, and overall profitability.
TABLE 2 — TENKAN-KIJUN CROSSOVER VS. MOVING AVERAGE
CROSSOVER: EURO (EC) FUTURES, 2-9-04 TO 2-9-06
Tenkan-Kijun All trades Long trades Short trades
Total net profit ($8,762.50) ($3,600.00) ($5,162.50)
Number of trades 21 11 10
Percent profitable 23.81% 18.18% 30.00%
Winning trades 5 2 3
Losing trades 15 9 6
Even trades 1 0 1
Moving average All trades Long trades Short trades
Total net profit ($6,987.50) ($2,625.00) ($4,362.50)
Number of trades 23 12 11
Percent profitable 34.78% 33.33% 36.36%
Winning trades 8 4 4
Losing trades 15 8 7
Even trades 0 0 0

I just read that entire thread, very interesting, makes me wonder what you are doing manually that could not be automated? I don't understand when people say that their manual choices cannot be automated. There is always some critieria for choices, some logic that leads to conclusions and a decision pathway. I don't see why automation cannot fully duplicate that if people are willing to invest the effort to specify the critieria and mark the decision pathway. Automation can execute any logic that can be defined can it not? So what is it that is not definable? It seems that good strategies manually could/should be good strategies automated. What stops this from being done? I praise your optimization efforts on that thread. Is there an automated optimized version of that EA that places the orders, cancells previous orders which weren't taken ect. and basically operates hands free?

were the moving average trades leveraged differently or something? this looks to me like the moving average trades were better in all but net profit, higher percentage, more wins, and entered more trades.

to answer your earlier question about what is a big move? I am looking for a way to limit the losses of a moving average cross EA that straddles on every execution. Most of the time there is sufficient retracement to close both legs of the straddle. When there is not sufficient retracement I assume it is because there has been a market movement which is gone beyond retracing within three or four days. There is a general rule in option trading that any option that has decreased by 50% won't recover. I'm looking at something similar here. Where is the point of diminishing returns with holding out waiting for a retracement to close the other side of a straddle? More to the point of the original question. When large moves are likely can we prevent the straddle execution from originating the wrong position and stop straddling just open in the direction of the predicted move.

The straddle strategy generates big wins but unless the losses are limited it gives back big losses too. This is what I'm wanting to prevent.

My opinion about Ichimoku is based on some big researches as well (not my research). Ichimoku indicator can not be compared with MAs.

you can read entire backtest in currencytrader magazine from 03.2006.

Deepdrunk,

Forex world is divided.

There are russian forex magazines and some russian researches on this subject. Very deep researches. It is difficult to translate to English but may be I will post it on Ichimoku thread with original language. These researches are deep and based on some western knowledge as well. Ichimoku indicator can not be even compared with MAs.

deepdrunk,

I read a few post from you and the impression i have got is that you are trying to be akward sometimes...