A lot of time has passed since my previous posting here, but Forex trading is still an interesting task for me, and it inspires for new ideas. Sooner or later, most of them come to life as innovative technical indicators. Recently I've reactivated and expanded my efforts in cluster indicators - multicurrency tools displaying overall picture of the market. Today I want to introduce 2 new products: MarketMeter and CCFs+.
The first one is an indicator which provides signals for trading online. The second one is intended for history analysis, because it shows the signals in dynamics - how they changed in past. Both indicators are presented in the screenshot below. This is an overview of trading opportunities for the week from 7-th to 11-th July discovered by MarketMeter. It is based on how the Forex majors behaved at H1 level of details. While using MarketMeter, you can see these signals in its Short-term column.
In brief, the signals of CCFs+ indicator, shown in the chart subwindow, are very simple: buy currency at the top, and sell currency at the bottom. What MarketMeter indicator does is simply calculates current differences between all CCFs+ lines and displays largest values, which mean strongest signals. Now let us consider the signals of this week as an example.
Almost all of the time, AUD was a good currency to buy against other ones. On the very beginning of July 7-th a "sell GBPAUD" signal is clearly seen. It brought 50o points of profit withing several hours between 4:00 and 14:00 CET.
Just at 14:00 CET a "buy AUDCAD" signal popped up, and yielded 50o points to the end of the day.
The next days AUDNZD was signalled to buy, but the signal strength grew all the way with its maximum at 9:00 CET July 10-th, so trading implied averaging with first enter at 5:00 CET July 8-th and the last one at 10:00 CET July 10-th, which allowed to exit this position with breakeven at 11-th July (using conservative averaging with constant lots; progressive lots would make a profit).
Also on the midnight between 9-th and 10-th July there was a "sell NZDUSD" signal (shown on the screenshot) which brought 25o points profit in 12 hours.
Finally, at 11-th July a "buy EURNZD" signal appeared, but at the end of the day (when the signal strength dropped significantly) price was almost on the opening level so the outcome is 0.
In total, this makes 125o points of profit a week, with a near to ideal profit factor. Backtests are very impressive so far, and I keep testing these instruments on real and paper trading.
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