Any technical indicator is based on a certain algorithm for processing market information. As a rule, prices are used as initial data. Speaking in the language of math, the indicator is a function that converts prices into some final result. In this article, I will consider linear functions that can be used to build an indicator.
In this article, I will consider the algorithms allowing you to create your own technical indicator. You will learn how to obtain pretty complex and interesting results with very simple initial assumptions.
Candlesticks are a very helpful technical tool if we use them correctly, as we can find a potential movement based on their patterns. Candlesticks can form specific patterns on the chart and these patterns can be divided into two types single-candle patterns and blended candle patterns (more than one candle). In this article, we will learn how we can use MQL5 to detect some of these patterns automatically in the MetaTrader 5 trading terminal, we will cover that through the following topics:
Some people say that this EA looks like 'modified Ilan1.6' in trading but with more secure features concerning deposit and so on and having the following:
MaxTrades parameter (how many simultanious trades can be opened),
LotExponent: this is lot multiplier for martingale (I prefer 1.4 instead of default 2.0 for example),
TakeProfit in points (in case of 5 digit price which as 1.09635 so TakeProfit = 20 is 2 pips),
UseEquityStop parameter to stop trading with TotalEquityRisk (TotalEquityRisk = 20 by default),
UseTimeOut: close all the trades after MaxTradeOpenHours (I prefer to use UseTimeOut - I mean: EA will close all the trades after MaxTradeOpenHours = 5 hours).
This is the description from the author:
It is EA with features that are very sensitive to movement is equipped with other features including:
Equity stop;
Tralling Stop;
Equity Risk Management;
Time Out Use;
Max Trade open Hours and others.
Rule: Use Pair With Minimal spreads, one I use EUR / USD With Time Frame 1 Minute.
This is backtesting for 4 days till now with minimal/minimum risk for deposit:
The article "Improved candlestick pattern recognition illustrated by the example of Doji" dealt with the concept of metabars. In short, a metabar is a conditional combination of several consecutive bars into a large one. This is similar to a bar of a higher timeframe, but not exactly, since the size of the metabar is not fixed (it "floats" in a given range) and there is no binding to a specific start and end time of the bar. Therefore, the use of metabars allows traders to detect various patterns of candlestick analysis much more often.
How to find more candlestick patterns than usual? Behind the simplicity of candlestick patterns, there is also a serious drawback, which can be eliminated by using the significantly increased capabilities of modern trading automation tools.
The indicator (i_Sampler.mq5) calculates perfect market entry signals, which can be used for neural network training.
The e_CheckSampler.mq5 Expert Advisor is created for checking of the indicator values. The Expert Advisor uses the data from file, created by indicator.
Our custom panel will allow us to add any required amount of the necessary data to it, sign it, as well as display and update readings from the program code.
It should be possible to move the panel around the chart with the mouse, dock it in the desired chart position, as well as collapse/expand it. For the convenience of placing the data on the panel, it will be possible to display a table with the specified number of rows and columns. The data from this table can be displayed in the journal (X and Y coordinates of each table cell) and obtained programmatically in order to indicate the index of the row and column where this data should be located, or simply print the coordinates and enter the required ones into the code, right when displaying text and data.
This indicator is not on bars or on tick based. It strictly works based on a time. It generates a new bar with Open, Close, High and Low for the given period in seconds. This version does not depend on ticks at all (it works even on weekends — creating a flat line, since there is no price change, but it works) and this version is able to display data even when ticks in regular sessions are not coming in.
The modern financial market is an example of a "natural" complexly balanced system. On the one hand, the market is pretty chaotic, because it is influenced by a large number of participants. On the other hand, the market is characterized by definite stable processes, which are determined by the market participants' actions. One of econophysics tasks concerns the description of social interaction processes, which form the price dynamics observed on the exchange. Therefore, it is highly desirable to define and present specific properties of financial time series, which will distinguish such data from other natural processes. In modern theories, price series are defined as different-scale fractals (from several minutes to dozens of years).
In the article Calculating the Hurst Exponent , we were introduced to the concept of fractal analysis and how it can be applied to financial markets. In that article the author described the rescaled range method (R/S) of estimating the Hurst Exponent. In this article we take a different approach by demonstrating the implementation of the Generalized Hurst Exponet (GHE) to classify the nature of a series. We will focus on using the GHE to identify forex symbols that exhibit a tendency to mean revert, in the hope of exploiting this behaviour.
In this article, we investigate how the Generalized Hurst Exponent and the Variance Ratio test can be utilized to analyze the behaviour of price series in MQL5.
This version is a sort of normalized version - since it shows Volume as a percent compared to the Average Volume over a chosen period.
With MetaTrader 5 now you can chose if the volume used is going to be tick volumes or real volumes. Percentage breakouts compared to average volume are marked with different colors.
DIY technical indicator
How to use MQL5 to detect candlesticks patterns
This is very interesting scalping EA: Angry Bird (Scalping) - expert for MetaTrader 4
Some people say that this EA looks like 'modified Ilan1.6' in trading but with more secure features concerning deposit and so on and having the following:
This is the description from the author:
It is EA with features that are very sensitive to movement is equipped with other features including:
Rule: Use Pair With Minimal spreads, one I use EUR / USD With Time Frame 1 Minute.
This is backtesting for 4 days till now with minimal/minimum risk for deposit:
Forum on trading, automated trading systems and testing trading strategies
Default Ilan-TrioKS v1.45 - /English Version/ - The new SUPER Expert Advisor
Sergey Golubev, 2018.05.19 16:04
Forum on trading, automated trading systems and testing trading strategies
Default Ilan-TrioKS v1.45 - /English Version/ - The new SUPER Expert Advisor
Sergey Golubev, 2018.10.14 16:49
The setting (set files) for this EA are proposed on this discussion page.
This EA was improved here (free to download) and this version does not use martingale feature (and some rules for buy/sell was changed too).
Besides, some settings (set files) were uploaded for the old/original version:
Just for information.
Doji Candle Detection - indicator for MetaTrader 4
This is interesting indicator which is detecting the Doji in separate window as a histogram with alerts:
Trading strategy based on the improved Doji candlestick pattern recognition indicator - the article
The article "Improved candlestick pattern recognition illustrated by the example of Doji" dealt with the concept of metabars. In short, a metabar is a conditional combination of several consecutive bars into a large one. This is similar to a bar of a higher timeframe, but not exactly, since the size of the metabar is not fixed (it "floats" in a given range) and there is no binding to a specific start and end time of the bar. Therefore, the use of metabars allows traders to detect various patterns of candlestick analysis much more often.
Forum on trading, automated trading systems and testing trading strategies
Something interesting, old thread
Sergey Golubev, 2023.11.02 18:14
Interesting indicator -
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Sampler - indicator for MetaTrader 5
The indicator (i_Sampler.mq5) calculates perfect market entry signals, which can be used for neural network training.
The e_CheckSampler.mq5 Expert Advisor is created for checking of the indicator values.
The Expert Advisor uses the data from file, created by indicator.
Making a dashboard to display data in indicators and EAs
Our custom panel will allow us to add any required amount of the necessary data to it, sign it, as well as display and update readings from the program code.
It should be possible to move the panel around the chart with the mouse, dock it in the desired chart position, as well as collapse/expand it. For the convenience of placing the data on the panel, it will be possible to display a table with the specified number of rows and columns. The data from this table can be displayed in the journal (X and Y coordinates of each table cell) and obtained programmatically in order to indicate the index of the row and column where this data should be located, or simply print the coordinates and enter the required ones into the code, right when displaying text and data.
Candles, arbitrary seconds - indicator for MetaTrader 5
Hurst exponent
The article
Calculating the Hurst exponent
The CodeBase (for MT5)
Variations of the Hurst Exponent over time
The book
Mastering Hurst Cycle Analysis: A modern treatment of Hurst's original system of financial market analysis
Forum on trading, automated trading systems and testing trading strategies
Cycle indicators
Sergey Golubev, 2019.07.12 06:39
Good article was published -
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Evaluating the ability of Fractal index and Hurst exponent to predict financial time series
Implementing the Generalized Hurst Exponent and the Variance Ratio test in MQL5
Volume Average percent - indicator for MetaTrader 5
This version is a sort of normalized version - since it shows Volume as a percent compared to the Average Volume over a chosen period.
With MetaTrader 5 now you can chose if the volume used is going to be tick volumes or real volumes. Percentage breakouts compared to average volume are marked with different colors.