MT5 Trading Bot with Sierra Charts Integration

1. Primary Analysis Timeframe

• Main timeframe: The timeframe on which the bot is deployed/dropped
• All analysis and signal generation occurs on this primary timeframe

2. Position Sizing Algorithm

Formula: Risk Amount ÷ Average Daily Range (ADR) = Lot Size

Components:

• Risk Tolerance: 0.05% of current account balance
• Risk Calculation Example:
  • Account Balance: $100,000
  • Risk Amount: $100,000 × 0.05% = $50
• Lot Size Calculation:
  • ADR Example: 25 pips = 250 points (assuming 5-digit broker)
  • Lot Size: $50 ÷ 250 = 0.2 lots

3. Trading Schedule

• Active Hours: 9:00 AM to 9:00 PM GMT+3
• Bot automatically starts and stops within this window
• No trading outside these hours

4. Take Profit Strategy

• Take profit levels determined by Average Daily Range (ADR) indicator values
• Dynamic adjustment based on current ADR readings

Trading Logic & Analysis

Pattern Recognition System

Primary Signal: 3-candlestick pattern formations creating swing highs or lows

Key Rules:

1. Focus Hierarchy: Bot tracks only the most recent/immediate high or low
2. Pattern Invalidation: When a new high/low forms, previous patterns are automatically invalidated
3. Confirmation Requirement: Invalidating candlestick must close completely before trade execution

Entry Conditions

SELL Setup

• Most recent swing high gets invalidated (price breaks below)
• Cumulative Delta Bars show bearish divergence
• Invalidating candle closes completely
• Action: Immediate sell order placement

BUY Setup

• Most recent swing low gets invalidated (price breaks above)
• Cumulative Delta Bars show bullish divergence
• Invalidating candle closes completely
• Action: Immediate buy order placement

Divergence Analysis

Primary Indicator: Cumulative Delta Bars

• Analyze volume-price divergences at swing points
• Divergence must be present for trade validation
• Only proceed with trades when divergence confirms the invalidation

Required Sierra Charts Integration

Mandatory Indicators (Sierra Charts Bridge Only)

1. Cumulative Delta Bars - Volume analysis and divergence detection
2. Average Daily Range (ADR) - Position sizing and take profit calculations

Technical Requirements

• All indicators must be sourced exclusively from Sierra Charts
• No alternative indicator sources accepted
• Bridge connection required for real-time data feed

Execution Flow Summary

1. Monitor primary timeframe for 3-candle swing patterns
2. Identify most recent swing high/low
3. Wait for pattern invalidation
4. Check Cumulative Delta for divergence confirmation
5. Ensure invalidating candle closes completely
6. Calculate position size using ADR-based formula
7. Execute trade with ADR-derived take profit
8. Repeat process for new patterns
   
   
   
   video link : 
   
   https://drive.google.com/file/d/1ge5QZoKe1M0RZ-IVAU7IC8DMyLjlyGkE/view?usp=sharing