Bollinger Band Breakout - page 2

tinear10
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tinear10  

Conservative approach

My feeling is that this is a conservative system on higher time frames. The usual rules apply - stay away from news and watch support and resistance levels.

Linuxser
5921
Linuxser  

Remember BB are highly productive to set positions before the breakout.

[Deleted]  
tinear10:
My feeling is that this is a conservative system on higher time frames. The usual rules apply - stay away from news and watch support and resistance levels.

So the stop loss is the moving average in the center of the Bollinger bands?

One thing to think about with an EA is that many of them base trades on when a bar closes. Would this strategy use bars that are still open?

If I get some time Ill post an EA with this strategy so we can see how well it works.

tinear10
67
tinear10  

Stop Loss

The middle of the band would be a good stop loss. If we are wrong about the trade it will not take long to find out.

You could open the trade on the current bar. Maybe place an order at the price of the outside Bollinger Band. If price goes there then is a very high probability we have good trade.

[Deleted]  
tinear10:
The middle of the band would be a good stop loss. If we are wrong about the trade it will not take long to find out. You could open the trade on the current bar. Maybe place an order at the price of the outside Bollinger Band. If price goes there then is a very high probability we have good trade.

So place a pending order?

[Deleted]  

I finished a prototype EA with tinear10's strategy in mind.

A message to everyone participating :

A few parameters in it may not be self explanatory.

MultiplyByTen is set to true if your account uses tenth of a pip (just makes it so instead of setting stop-loss/take-profit/ect. to 300 when the pips you want is 30, you can leave it at 30)

UseBollStops is set to true if you want to use the middle of the bollinger bands as the stop-loss. It only activates if the price climbs above the middle at some point.

Level is the amount of pips the price has to be above/below the middle of the bollinger bands BEFORE it activates the bollinger stop loss. I noticed usually an open long/short is signaled when the middle of the band would not work as a stop-loss.

The rest of it should be self-explanatory. If there are questions from anyone, please ask in this thread. Ill answer the ones that aren't something like "Aww god how 2 use this EA?!?!?". You should know the platform you are using enough you can figure most of this EA out by yourself, and furthermore you shouldn't be bothering us if you cannot type reasonable sentences. I suspect that people that pay for the Exclusive forums are more serious about this so I assume we wont have any issues and I apologize for even mentioning it, Im just covering my bases because Its annoying when threads get hijacked by people that have no business commenting.

I think there is something wrong with my implementation of the strategy as it is not profitable. I think its something I am overlooking, but I am sure we can fix it. I just need some help identifying the problem. I made this EA quickly so its not perfect yet. I ask for your help identifying bad trades it makes, and what the indicators were doing when it made them. I noticed a lot of trades end up getting closed before they are profitable, even though I am sure the exit criteria is set to crossing 100/-100 respectively.

DISCLAIMER :

I programmed this quickly so consider it a rough-prototype and do not use this on a live account.

I am just a decent programmer not a finance professional. I work two jobs, one as a research assistant at a University and one as a part time EA programmer for my friends investment firm. I only program what Im told to by people that understand markets better than I. On top of this I am also a graduate student. This being so, I have limited time. Please don't be impatient if I cant get to something fast enough.

Files:
tinear10
67
tinear10  

Very cool

I will test the EA. Thank you very much for taking the time to code this EA.

[Deleted]  
tinear10:
I will test the EA. Thank you very much for taking the time to code this EA.

Tell me if you see something wrong with the way it executes trades. I keep getting non-profitable trades. It appears it opens trades at the wrong time but I coded as close to what you said as I could think to.

For Long :

Opens trade if current price is below lower bollinger band AND bollinger bandwidth is above threshold, AND CCI is above threshold.

Closes trade if CCI crosses 100 from above.

For Short :

Opens trade if current price is above upper bollinger band AND bollinger bandwidth is above threshold, AND CCI is below threshold.

Closes trade if CCI crosses -100 from below.

I have a newer version of this EA at my home computer, Ill post it when I get a chance tonight.

William Snyder
9552
William Snyder  
antisyzygy:
Tell me if you see something wrong with the way it executes trades. I keep getting non-profitable trades. It appears it opens trades at the wrong time but I coded as close to what you said as I could think to.

For Long :

Opens trade if current price is below lower bollinger band AND bollinger bandwidth is above threshold, AND CCI is above threshold.

Closes trade if CCI crosses 100 from above.

For Short :

Opens trade if current price is above upper bollinger band AND bollinger bandwidth is above threshold, AND CCI is below threshold.

Closes trade if CCI crosses -100 from below.

I have a newer version of this EA at my home computer, Ill post it when I get a chance tonight.

Hi Antisyzygy,

Thanks for the Ea.only thing i can see is don't think Tinear10 is actually using B bands for entry, from my understanding he is using only B Band width indicator greater than threshold and CCI for entry, and for stop like you have it using middle band, which in reality is just a ma average. Maybe an idea to maybe add a condition if price above middle band ma for entry.

[Deleted]  
mrtools:
Hi Antisyzygy, Thanks for the Ea.only thing i can see is don't think Tinear10 is actually using B bands for entry, from my understanding he is using only B Band width indicator greater than threshold and CCI for entry, and for stop like you have it using middle band, which in reality is just a ma average. Maybe an idea to maybe add a condition if price above middle band ma for entry.

Attached is what you describe. If you want to use the MA as the stop you still need to set the level at which it will come into effect. Say a buy order is placed and the level is set to 20. When the price climbs 20 pips above the MA (middle bollinger band) it will begin setting the stop loss at the value of the MA.

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