Modtrade Enter/Exit indicator

[modulatum]

Here's an indicator I made that shows the entry and exit points of a trend. It's pretty simple to read: when the indicator starts showing yellow bars, you enter or wait for other signals and then enter, when the yellow bars stop, you exit. The indicator does NOT show what direction to enter. With default settings, it works best on M30 timeframe. The pound does not perform well with this, at least on default settings.

The variables to set are:

• sensitivity: filters out data; the more it approaches 1, the more data it filters
• resolution: the smoothness of the cut-off level average; the indicator is useless if resolution is more than 250
• minutes: the timeframe of the indicator; note that I didn't design it to spread the value, like a typical MTF indicator would, so what you're seeing is the value as it would appear were you to switch MT4 to that timeframe

Enjoy!

[european]

indicator

Thanks for the indicator,

looks interesting.

What pairs it works best for?

Any chance to modify it so it shows what direction to enter, say blue for Buy, red to Sell?

euro

[modulatum]

european:
Thanks for the indicator,

looks interesting.

What pairs it works best for?

Any chance to modify it so it shows what direction to enter, say blue for Buy, red to Sell?

euro

It works best on pretty much all the majors and most of the crosses. Like I said in the initial post, the pound (and its crosses) don't work so well with it.

I don't have any plans, or even ideas, as far as implementing a directional element into the indicator, like I said, it wasn't designed with that in mind. Think of it as a "trade/don't trade" indicator, similar to the Damiani volatility meter.

[[Deleted]]

Thanks for this - one of the biggest trading challenges is filtering false entries - looks great if it doesn't repaint :-)

[modulatum]

leeb:
Thanks for this - one of the biggest trading challenges is filtering false entries - looks great if it doesn't repaint :-)

No problem. The idea for it just popped into my head.

I don't think it repaints (or that it CAN repaint), but it would be nice to get some external feedback on its behavior.

[[Deleted]]

I have just replayed some of it in visual tester metatrader does seem to repaint or shift :-( could someone confirm ? Otherwise could be very useful, maybe looking at the code will tell us for sure if it repaints...

[modulatum]

leeb:
I have just replayed some of it in visual tester metatrader does seem to repaint or shift :-( could someone confirm ? Otherwise could be very useful, maybe looking at the code will tell us for sure if it repaints...

This is important stuff. I'm going to record the screen and see what happens overnight. I don't really think that it's possible for this to repaint (it's not based on anything that can repaint, like a Fisher indicator).

In the meantime, here's the updated version with a couple of new shots.

There are two resolutions now, L, the one described in the original post, and V, the new one. V seems to be a counterintuitive variable, but changing it to -1 produces a nice 10 bar forward shift, for whatever purposes.

P.S.: The source is very simple. The formula for the signal line is basically this: the sum of the lows of the past 10 bars is subtracted from the sum of the highs of the past 10 bars. An average line, which is the sum of the signal buffer's last 10 bars (times resolution) divided by 10 is subtracted from the signal line and the difference is plotted as a histogram (the negative values [which are also no-go for trading] and values that don't meet sensitivity requirements are all plotted as 0). If any of that could repaint, I'd like to know.

[[Deleted]]

Hey Modulatum! This seams to be very useful!

I will try with some indicators to see if it works well!

Can u tell how do u calculate it or how meter this indicator works?

Thanks

[fxbs]

modulatum:
No problem. The idea for it just popped into my head.

Hi, Modulatum!

Hm... simple, strange... all bulls, bears, correlations, mass indexes ...

interesting, what was the consideration (philosophy)

thank you

[modulatum]

Pabloreg:
Hey Modulatum! This seams to be very useful!

I will try with some indicators to see if it works well!

Can u tell how do u calculate it or how meter this indicator works?

Thanks

Hi Pabloreg,

I pointed this out in my newest update:

The formula for the signal line is basically this: the sum of the lows of the past 10 bars is subtracted from the sum of the highs of the past 10 bars. An average line, which is the sum of the signal buffer's last 10 bars (times resolution) divided by 10 is subtracted from the signal line and the difference is plotted as a histogram (the negative values [which are also no-go for trading] and values that don't meet sensitivity requirements are all plotted as 0). If any of that could repaint, I'd like to know.

fxbs:
Hi, Modulatum!

Hm... simple, strange... all bulls, bears, correlations, mass indexes ...

interesting, what was the consideration (philosophy)

thank you

Hi fxbs,

Well, the consideration was literally this: "Hey, what if I get the difference between 5 highs and 5 lows?" 5 soon grew to 10, and then I noticed the weird pattern of the indicator running upwards right before a big move, so I figured out that it needed a level to filter out the stable, ranging conditions. And that's what you see before you now.

[modulatum]

I think I may have caught onto what could be causing repainting. The signal value takes into account the current bar's high and low values, thus the bar was open to modification until the next bar's close, which would be < 30 minutes.

Attached are some more screens. Take a look at the last one, the 5/28. That's a memorable date for me because the market did nothing all day, and take a look at what the indicator values are.

P.S.: On the charts where the new version has gaps, it works better with an L resolution of 12-13.