forex software

Create and Test Forex Strategies

forex software

Skip to forum content

Forex Forum

Forex Software, Forex Strategies, Expert Advisors Generator

You are not logged in. Please login or register.


Forex Forum → Forex Strategies → moving average cross over

Pages 1

You must login or register to post a reply

RSS topic feed

Posts: 14

Topic: moving average cross over

I am testing out moving average cross over strategy with a slow and fast period. I am defining the entry as -fast ave crosses slow ave upwards. What is the position taken long or short?
If the reverse happens, will the package take a short position?
The entry condition is still enter at the begining of the bar, can I change it to enter at calculate position?

Regards

Vivek

Re: moving average cross over

We always set the long positions logic.

[Opening logic condition]
Moving Averages Crossover
     The Fats MA crosses the Slow MA upward

When it happens FSB opens long.
When the opposite happens (fast MA crosses below the slow MA) FSB opens short.

This is a logic condition that has to be fulfilled (together with all the others) a position to be opened.

The entry point is into the first slot. 

I the Slow MA as an Entry Point in the following example:

Forex Strategy Builder v2.5.3.0
Strategy name: New
Exported on: 9/16/2007 3:05:57 PM

Market: EURUSD 1 Day
Spread: 4 pips
Swap Number: 1 pip

Intrabar scanning: Not accomplished
Interpolation method: Pessimistic scenario
Ambiguous bars: 0
Tested bars: 4702
Balance: 8636 pips
Minimum account: 0 pips
Maximum drawdown: 2006 pips
Time in position: 96 %

A same direction signal - Does nothing
An opposite direction signal - Reverses the position

[Opening point of the position]
Moving Average
     Enter the market at the MA value
     Smoothing method  -  Simple
     Base price  -  Close
     Period  -  24
     Shift  -  0
     Use previous bar value  -  Yes

[Opening logic condition]
Moving Averages Crossover
     The Fats MA crosses the Slow MA upward
     Base price  -  Close
     Fast MA method  -  Simple
     Slow MA method  -  Simple
     Fast MA period  -  13
     Slow MA period  -  24
     Fast MA shift  -  0
     Slow MA shift  -  0
     Use previous bar value  -  Yes

[Closing point of the position]
Close and Reverse
     Close all positions and open a new one in the opposite direction


!!! This is over optimized !!!

Re: moving average cross over

Good example ccjuce!

It is a real life MA crossover system.

When I check it I was a little surprised at a moment because of the crossovers without execution.

In the initial strategy FSB reverses the position after each crossover at the opening price of the bar but here the entry point is at MA and it can be outside of the bar (previous MA - "Use prev bar value").

Re: moving average cross over

saw ur stuff and i want to use it o n one hour chart .pls tell me the full detail,you can send it to my mail

Re: moving average cross over

Popov wrote:

Good example ccjuce!

It is a real life MA crossover system.

When I check it I was a little surprised at a moment because of the crossovers without execution.

In the initial strategy FSB reverses the position after each crossover at the opening price of the bar but here the entry point is at MA and it can be outside of the bar (previous MA - "Use prev bar value").


Dear Popov,

I wonder how the entry at just the crossover system works? If it opens position at the initial crossover I think this would be misleading. Can you explain the details please? Because moving averages are not stable and they are painting themselves with the price action. So let say the moving averages are crossed but then the price initially turned back; on the chart you will not see them crossing, but in the real time they would cross for a little time. You can see those position as spikes around slow moving averages. If there isn't a clear point please ask.

Also I want to add that maybe a strategy uses to enter at inital crossover but I dont think its possible to backtest. So I think the above back tast which is the entrace at crossover value is misleading.

Thanks for all..

Re: moving average cross over

Also I want to thanks to all the programmers of this great stuff. Its the best program I have ever used in my life. Thank you Popov and other whom I dont know..

Re: moving average cross over

I don't use entry at crossover in my programs. The crossover is just a condition. The actual entry is set in the "Opening Point of the Position" slot. Usually at bar open.

There is more info here: Using two indicators crossover as an entry condition in forex trading

Re: moving average cross over

Popov wrote:

I don't use entry at crossover in my programs. The crossover is just a condition. The actual entry is set in the "Opening Point of the Position" slot. Usually at bar open.

There is more info here: Using two indicators crossover as an entry condition in forex trading

Thanks for the quick reply Popov, I appreciate very much your work. So here is what I understood to use crossovers: if moving averages are calculated according to open price than, opening point of the position (opp) is bar opening and if moving averages are calculated according to close price than opp must be bar closing. Did I understand correct? If we use with this method does it becomes a reliable backtest?

Re: moving average cross over

That's correct. One note only: "if moving averages are calculated according to close price than opp must be bar closing" or next bar opening.

Re: moving average cross over

Got it wink
Thanks..

Re: moving average cross over

I think I made my holy grail with this wonderful program. 20.000 pips a year  big_smile
Thanks Popov

Re: moving average cross over

Day by day im getting fan of this software !
Thanks Popov ... you are helpping great here !


Lets supopose i want to entry after a cross moving, but not in the exaxtly moment (close or nexst open).  I wanna entry after some other conditions.  How can i set FSB for this ?

Re: moving average cross over

footon wrote:
Acic wrote:

Lets supopose i want to entry after a cross moving, but not in the exaxtly moment (close or nexst open).  I wanna entry after some other conditions.  How can i set FSB for this ?


my suggestion is to choose the "the Fast MA is higher than the Slow MA" option, it's not exactly the same what you want but still close to it.


The problem with this is after the first cross.
If we choose "higher than", after the exit signal, and if the  Fast MA still above the Slow .. we'll get the false signal to open position.
that is worst, im my strategy.

Re: moving average cross over

Acic wrote:

Day by day im getting fan of this software !
Thanks Popov ... you are helpping great here !


Lets supopose i want to entry after a cross moving, but not in the exaxtly moment (close or nexst open).  I wanna entry after some other conditions.  How can i set FSB for this ?



Let me explain better:

Lets suppose some EMA crossover happened, but i only wanna enter the trade after stochastic lower than 25 signal line.
And after that i will only enter again after new crossover (and stochastic condition).

Posts: 14

Pages 1

You must login or register to post a reply

Forex Forum → Forex Strategies → moving average cross over

Similar topics in this forum