The assistant SmartLevels Expert Advisor, which uses the strategy of trading based on support and resistance zones (levels).
Simply drag the trade level lines with the mouse, arrange them according to the support and resistance zones on the price chart, and the EA will execute the algorithm embedded in it.
The strategy is designed for medium and long-term position holding periods. But adventurous and experienced traders may use the expert for intraday trading.
The EA works on accounts with a netting system of position accounting. Execution of orders - Forex.
You can find additional information on the strategy of trading support and resistance levels on the Internet.
The custom settings of the EA are represented by the following input parameters:
- Lot - working lot
- Buy levels - the number of Buy trade levels
- Sell levels - the number of Sell trade levels
- Stop-loss - enable/disable the stop loss
- Stop-loss distance - distance to the stop loss level in pips (points)
- Partition close - enable/disable the partial profit taking
- Partition close number - the number of levels for partial profit taking
- Partition close distance - distance in pips (points) between the levels of partial profit taking
- Slippage - slippage in pips (points)
- Breakeven - enable/disable breakeven
- Breakeven condition - the size of profit in pips (points) to move the stop loss to the breakeven level
- Breakeven distance - distance in pips (points) from the order opening price to the breakeven level
By giving a fishing rod, I also consider it necessary to teach you how to fish with it.
All traders have individual preferences in trading, therefore, each trader can test and his own trading style with the help of this expert.
Using only trade levels.
- Overlap the price chart of the instrument (recommended H1 or higher) with the trade level lines at the support and resistance zones, as shown in the screenshot. The green line must always be on top with the red line at the bottom.
- When the price breaks the green line upwards, open a Buy position.
- If the price moves up and reaches the next resistance zone (red line), the position will be closed and you will receive profit.
- If the price goes downward, the position will be closed at a loss, and if the downward movement continues, open a Sell position.
- When arranging the trade level lines, consider the so-called flat range in the support and resistance zones. In order to reduce the trading risk, the distance between the trade levels in a flat range must be no more than 1 to 3 relative to the distance to the next support and resistance zone.
- Also consider the spread. Significant price slippage may occur during sharp movements, which must also be taken into account when placing the trade level lines in the flat ranges.
Using trade levels + partial profit taking.
- When trading on the higher timeframes you may additionally enable the Partition Close option. Then, if the price moves from one support and resistance zone to another one, you will have the ability to partially take profit.
Combination of the above options + stop loss + breakeven.
- To decrease the size of the potential loss during the possible prolonged price fluctuations in the flat ranges, you may set the stop loss within this zone, as well as enable the breakeven option.
Wish you successful trades!
2. After restarting the terminal or losing connection, the lines of trade levels remain where they had last been placed.
3. The default number of trade levels - 1 Buy line, 1 Sell line.
4. Default: the distance from the price to the first line of the level is 50 pips, to the second line - 20 pips.