Modified forex strategy Pabloski looks something like this:
Figure 1
Terms of Business on the Modified forex strategy Pabloski:
1) To open trading positions on a purchase look at the color indicator forex stepchoppy (SC) (it displays color bars and a column indicator forex below). If the two of them — dark blue, and the bar is located below the light blue line indicator ATR 10 points (just below this level, rather than between the green and light blue lines Indicator ATR), we conclude a deal at the closing or immediately at the opening of the next bar to Figure 4 lots (lot size respectively samomtoyatelno can adjust, for example 0.4 Lot, Lot 0.04, depending on the size of your trading account forex). Figure 2 and 3 you can see 2 examples of correct entries on a purchase.
Figure 3
Note the vertical white line and the closure of bars on the chart. These two pictures show us that repaints (on the chart) and neperekrashivayuschaya (at the bottom — in the indicators window) version of the indicator forex SC changed its color to blue bar at the same time, at the same price bar. Location bar — is not that important to first figure closing bars located between the green and yellow lines Indicator ATR, and the second figure — between orange and red lines ATR.
Thus, we conclude a deal to buy 4-trading lots at the close of the bar or at the opening of the next bar, while assuming that the downward trend ended and started an uptrend it to us and said the blue bars on the chart.
2. Mostly blue bar repaint version does not match the blue bar neperekrashivayuschey version. Until such time as we did not have neperekrashivayuschey version, we have been back testing with a repaint and the results were more than satisfactory. Therefore, if we can make a deal on the same level, and, thus, neperekrashivayuschuyu version, you can repeat these results. That’s why it was decided to limit sales warrant at the close of the first blue bar neperekrashivayuschey version, using, in this case, to indicate the level of close of trading the blue bar repaint version.
See Figure 4. The blue bars are not the same and once the price had closed at a price of 231.72, painted version of the old bar has changed to blue, which means we had to enter the market at a price of 231.52, but we are now at a bar in front. Therefore, place limit buy-in entry order at the price of 231.52, with 4 commercial lots, once the price has to be at 231.72 and wait until this order is executed. Limit your trading orders at the bar opened at 30/03/2007 00:00 by price 231.52.
Figure 4
What happens if the market price will not return to the opening level of the transaction on a limit order? We will miss a bargain? Of course not, see the description of forex strategy further.
3. See Figure 5. Based on the rule number 2, at the close of trading bar 12:00, we must set our buy order at a price of 234.05 (closing bars 02/20/2007 at 08:00). But look at the vertical white line (bar at 12:00) where the value of the indicator Forex Trend Power — 0.14 at the close. In this case, we will not be placed Limit-order for the deal to purchase at a price of 234.05, and conclude the bargain of the 4 lots at a price of 234.97 (closing trading bar 12:00). So, before you place limit orders at the conclusion of a deal to buy you should look at the value of the indicator Forex Trend Power, and if it is equal to or more than 0.14, you will enter into a deal to buy at the market price at the close of the bar or at a price opening of the next bar, a limit order to buy in this case, we do not need. In this example, the value of the indicator Forex Trend Power was 0.14, as the only indicator forex neperekrashivayuschy SC has turned blue.
Figure 5
There are situations when it becomes blue with just a few bars later (see Figure 6). In this case, you must first put the Limit-order for the deal to purchase on the closing price of the first blue bar indicator repaint SC, and then watch the indicator Forex Trend Power. If your limit order is open, you have already made a deal and no problems. If the price does not zatsipila your limit order, and the value of the indicator Forex Trend Power was 0.14 or more, then cancel this order and open a trading position at the close of the bar.
Figure 6
Rules:
SCv1 — repaints version indicator forex (specifies the color bar prices)
SCv2 — neperekrashivayuschaya version indicator forex (shown in a separate window indicator — below the price chart)
Conclusion of contracts for the purchase of:
In all cases, the closure of the previous trading bar should be below the light blue line is 10 points. If you open a transaction on a limit order, then this corresponds to the input of the indicator SCv1. If you open a transaction on the indicator Forex Trend Power, then we do not need to look at the old bar, but we are interested in only the first blue bar on the indicator forex SCv2 and the indicator value Trend Power -> = 0.14.
We are waiting for the blue bar on inidikatore forex SCv2.
(1) If the corresponding bar on the indicator forex SCv1 — this is the first blue bar, or if the indicator forex TrendPower> = 0.14, (or something, and others), open the deal to buy. Entering the market is made.
(2) Otherwise, if the indicator on the forex SCv1 a previous blue bars, and forex indicator TrendPower <0.14, should place a limit order to buy at the price of closing the first blue bar indicator forex SCv1.
Check tsennovye charts at the close of the next bar.
— If this bar was open limit order to buy, so the entry would be made.
— If a limit order to buy is still not activated, the indicator rose forex TrendPower = 0.14, open the deal to buy (and also exhibited cancel a limit order) — where the entry is made.
Otherwise, wait closure of the next bar.
So you have to remember that if there is a bar of some other color except blue — should be abolished entry into the market. Assume that we have placed our limit order, and forex indicator TrendPower located below the level of 0.14. If there is no blue bar, then we first check to see if has already touched the level of profits. If it is reached, we will cancel the entry would otherwise continue to wait for the opening of limit orders to be filled regardless of the color bars (obviously, not red).
Rules out of a trading position — safety stop-loss (SL) and Take-Profit (TP):
Suppose that our trade opened four lots on a purchase.
1. If market entry is made between the yellow and green lines display ATR, then the stop loss for all lots will close below the yellow line indicator of ATR.
2. If market entry is made below the yellow line indicator of ATR, then the stop loss is triggered as soon as the color bar changes to red (very often at the entrance to the market below the yellow line of the ATR indicator, all deals were closed with a profit, and with a lot).
3. If entrance into the market occurred between the green and light blue lines display ATR, then the stop loss is triggered at the touch of the green line indicator of ATR (this rule has significantly reduced losses and drawdowns in the trade, although it worked only on a few trade deals).
4. 1 st auction takes Take-profit (TP) at the closing between light blue and light blue lines Indicator ATR.
Exception number 1. If the entry was made below the green line indicator ATR, then you should not wait for the closing between the green and light blue lines Indicator ATR, and should exit from the first lot, once the price touches the light blue line indicator ATR.
Exception number 2. If market entry has been made within 10 points of the light blue line indicator ATR (on any side of it), then close the first lot as soon as the price of the plot concerns a light-blue line indicator of ATR.
5. 2 nd auction takes his profit (TP) as soon as the price touches the light-blue line indicator of ATR.
6. The third auction takes its profits as the price touches the blue line indicator ATR.
7. 4-th auction is taking their profits this way — after the close of the third open lot at a profit, should trail the fourth lot on the green line indicator ATR — once the price touches the green indicator line ATR, you should close the fourth open lot.
8. Once you have closed the first lot of stop loss for all remaining open 3 lots will touch the green indicator line ATR. The same rule applies in the case as soon as the first and second lots were closed with profits and the price on the chart went back and touched the green indicator line ATR.
9. We should not adopt a strategy of re-entry into the market in one cycle (within the same upward or downward trend).
Download forex indicators applicable to the Modified forex strategy Pabloski:
- Forex Indicator ATR Channels.mq4
- Forex Indicator StepChoppy_v2.mq4
- Forex Indicator StepChoppyBars_v2.mq4
- Forex Indicator TrendPower.mq4
