Hello All, as you know I've been discussing the BPT MA Deluxe
indicator quite a bit lately, and recently I showed how to use
moves against the indicator to mark low risk trade opportunities.
For example most recently the BPT MA Deluxe turned red on May
22nd on a 60 min chart, however shortly after that occurred, the
market had a decent oversold bounce that retraced 75% of the
pullback - this caused the Stochastic indicator to get overbought
RSI, however the BPT MA indicator stayed red on this time frame -
that represented a low risk short opportunity. Subsequently
the Stochastics got overbought a second time during a bounce
representing another low risk short within the downtrend.
However I've now added this functionality to the BPT MA Deluxe
indicator to tell us when a low risk long or short is present
within the primary trend of the indicator. I now have the
indicator marking these ares with a color marker on the indicator
as you will see in the video and chart examples
Looks good Matt and it makes logical sense to buy dips in
uptrends and sell rallies in downtrends. What would you think about
running backtests on the daily and 60 min versions to see how much
reliability the signal has standing alone without other
factors?
yes eventually we could program it into a system so that various
criteria can be back tested - for now I'm simply trying to get all
the parameters in place that I like for the indicator before moving
to the next step. Either way I think the BPT MA Delxuxe has
now turned into a very useful custom indicator that, quite
honestly, I don't think I've seen anything out there similar to it
before, and there are a TON of indicators of all sorts.
What's also nice about the BPT MA Delxue is that you can just
turn off all the settings and use it as a simply moving average set
i.e. like a 50, 200 SMA or EMA or 20 and 50 EMA etc, therefore you
can use it to replace your standard moving average sets too vs
using it in this exotic way
By the way - I used to have this indicator names: BPT MA Extreme
- which one is better, Deluxe or Extreme LOL
cuqiu69- there is
no one answer to that, just have to react to the market and see -
all the new change on the indicator tells you is that the market is
oversold in an uptrend, or overbought in a downtrend and thus a
lower risk reversion to mean trade exists. This is not a
system - exits according to your criteria.
New BPT MA Deluxe features added
Posted by matt on 6th of Jun 2013 at 10:28 am
Hello All, as you know I've been discussing the BPT MA Deluxe indicator quite a bit lately, and recently I showed how to use moves against the indicator to mark low risk trade opportunities. For example most recently the BPT MA Deluxe turned red on May 22nd on a 60 min chart, however shortly after that occurred, the market had a decent oversold bounce that retraced 75% of the pullback - this caused the Stochastic indicator to get overbought RSI, however the BPT MA indicator stayed red on this time frame - that represented a low risk short opportunity. Subsequently the Stochastics got overbought a second time during a bounce representing another low risk short within the downtrend.
However I've now added this functionality to the BPT MA Deluxe indicator to tell us when a low risk long or short is present within the primary trend of the indicator. I now have the indicator marking these ares with a color marker on the indicator as you will see in the video and chart examples
**Click HERE** to watch a short video, and see the chart examples
Looks good Matt and it
Posted by bkout3 on 6th of Jun 2013 at 11:02 am
Looks good Matt and it makes logical sense to buy dips in uptrends and sell rallies in downtrends. What would you think about running backtests on the daily and 60 min versions to see how much reliability the signal has standing alone without other factors?
yes eventually we could program
Posted by matt on 6th of Jun 2013 at 11:48 am
yes eventually we could program it into a system so that various criteria can be back tested - for now I'm simply trying to get all the parameters in place that I like for the indicator before moving to the next step. Either way I think the BPT MA Delxuxe has now turned into a very useful custom indicator that, quite honestly, I don't think I've seen anything out there similar to it before, and there are a TON of indicators of all sorts. What's also nice about the BPT MA Delxue is that you can just turn off all the settings and use it as a simply moving average set i.e. like a 50, 200 SMA or EMA or 20 and 50 EMA etc, therefore you can use it to replace your standard moving average sets too vs using it in this exotic way
By the way - I used to have this indicator names: BPT MA Extreme - which one is better, Deluxe or Extreme LOL
BPT MA-X
Posted by a_l_ on 6th of Jun 2013 at 11:56 am
Interesting. What would be your
Posted by cuqui69 on 6th of Jun 2013 at 10:50 am
Interesting. What would be your exit?
cuqiu69- there is no one answer
Posted by matt on 6th of Jun 2013 at 11:44 am
cuqiu69- there is no one answer to that, just have to react to the market and see - all the new change on the indicator tells you is that the market is oversold in an uptrend, or overbought in a downtrend and thus a lower risk reversion to mean trade exists. This is not a system - exits according to your criteria.
Matt, that's awesome.
Posted by wout on 6th of Jun 2013 at 10:49 am
Matt, that's awesome.