Friday, April 4, 2014

Trading Strategy Based on Bill Williams Alligator (Chaos) System

I am using the strategy generator included in Forex Strategy Builder to generate this ea and as you can see, the results are quite impressive.

The ;win/loss' ratio is 1.00, the Sharpe Ratio is 3.93, not bad for an automated strategy, especially considering that the out of sample is 30 per cent.

I will post the numbers below for you to have a look at.

It took only three hours for Forex Strategy Builder to generate this EA....., I just set up the indicators I want to use and let the generator seek the values it can use best.

Should you look at MyFxBook, you will see that few of the robots listed there have as good numbers as this one.

You can download this software, there is a free version on the site that will do exactly what I have done here and you can quickly develop several great trading strategies.

You will find this to be a most valuable tool to have available.

Download here   Forex Strategy Builder

Here is a description of the indicators used

Here is the download link  for this free software 

I will be posting more results from different systems that I develop as days pass, stay tuned.!

Analyze Your Metatrader4 EA Completely

EA Analyzer

Strategy Quant has prepared what I believe to be an excellent program for dissecting every aspect of your EA to allow you to get better and better results.

Really simple to operate this software, you need only enter your backtest results or your trading records using copy and paste or the saved Mt4 report and then work with the various screens available.

Built in are a vast number of metrics that will give you a bird's eye view as to the effectiveness of your strategy.

You can even isolate the days and hours of the week in which the strategy performs best.

Monte Carlo simulation will show you a worst case scenario and it is developed in mere seconds.

'What If' screen will you give a multitude of choices for analysis.

There are so many great features to this program.

You can have a free trial, it is fully featured and will show you some amazing information about your EA.

Download the free trial at EA Analyzer

Bline System

The Bline System was created by Buffy a couple years ago and represents a very simple and yet effective method of catching price action and making profitable entries. As a trading strategy this is a visual approach and excellent.

The significant area of this approach is the use of stochastics to illustrate potential entries and exits.

The 'Bline' is the magenta line in the first lower chart and it gives a very good indication of trend. Both of the stochastics charts will indicate entries and divergences and will confirm what is showing in the Macd.

This system does not miss much in the way of trades and with the multiple time frame approach is well worth learning. As a trading strategy I would estimate that the 'Bline' system, with some screen time, will stack up well against many other manual systems.

I have used this system on many different currency pairs over the years and had good results. I was fortunate enough to be able to learn the entries while in the trading room that Buffy used.

Forex Trading Strategies

Forex Trading Strategies abound, there are manual strategies and automated strategies and there are many variations of each.

The purpose of this blog is to have a look at several strategies of different kinds, to present variations and hopefully the articles will be of some benefit to the reader.

One of my interests is the software Forex Strategy Builder, which have been using for a few years to generate strategies for autotrading. Automated trading suits my personal preferences, particularly because the European open comes at a time that is awkward for me.

I have prepared numerous trading robots for use on Forex charts and have had some relatively good success with them. As you will see on other pages in this blog I like to experiment with trading strategy development by using certain indicators and combinations.

In addition to developing my own strategies I am quite interested in seeing what other people value and use. I will be sharing on a regular basis any systems or literature that I come across.

Hopefully you will find items  of interest on the blog, be sure to have a look at the different pages.

Here are a couple more very popular videos about trading strategies