Discussing the article: "Automating Trading Strategies in MQL5 (Part 2): The Kumo Breakout System with Ichimoku and Awesome Oscillator"

 

Check out the new article: Automating Trading Strategies in MQL5 (Part 2): The Kumo Breakout System with Ichimoku and Awesome Oscillator.

In this article, we create an Expert Advisor (EA) that automates the Kumo Breakout strategy using the Ichimoku Kinko Hyo indicator and the Awesome Oscillator. We walk through the process of initializing indicator handles, detecting breakout conditions, and coding automated trade entries and exits. Additionally, we implement trailing stops and position management logic to enhance the EA's performance and adaptability to market conditions.

In the previous article (Part 1 of the series) we demonstrated how to automate the Profitunity System (Trading Chaos by Will Williams). In this article (Part 2), we demonstrate how to transform the Kumo Breakout Strategy into a fully functional Expert Advisor (EA) in MetaQuotes Language 5 (MQL5). The Kumo Breakout Strategy uses the Ichimoku Kinko Hyo indicator to identify potential market reversals and trend continuations, with price movements relative to the Kumo (cloud)—a dynamic support and resistance zone formed by the Senkou Span A and Senkou Span B lines. By incorporating the Awesome Oscillator indicator as a trend confirmation tool, we can filter out false signals and increase the accuracy of trade entries and exits. This strategy is widely used by traders looking to capitalize on strong momentum-driven market movements.

From the visualization, we can see that instead of waiting for the shift in market momentum, we lock in our profits and maximize the gains by moving the stop loss level every time the market advances in our direction.

Author: Allan Munene Mutiiria

 
Good one man!
 
Javier Santiago Gaston De Iriarte Cabrera #:
Good one man!

Thanks very much. I really appreciate your kind feedback.

 
It's great to see a code that works and doesn't use neural networks. Great.
I think that for the sake of simplicity, today everything is solved with Keras and TensorFlow... But is it solved?
It's very encouraging that the "old way" of making an expert advisor still works.
 
That is a true statement