Strategy Myth-Busting #6 - PSAR+MA+SQZMOM+HVI - [MYN]This is part of a new series we are calling "Strategy Myth-Busting" where we take open public manual trading strategies and automate them. The goal is to not only validate the authenticity of the claims but to provide an automated version for traders who wish to trade autonomously.
Our sixth one we are automating is " I Tested ''7% Profit Per Day" Scalping Strategy 100 Times ( Unexpected Results ) " from " TradeIQ " which claims to have made 175% profit on the 5 min chart of BTCUSD with a having a 61% win rate in just 32 days.
Originally, we mimicked verbatim the indicators and settings TradeIQ was using however weren't getting promising results anything close to the claim so we decided to try and improve on it. We changed the static Parabolic SAR to be adaptive based upon the timeframe. We did this by using an adjustable multiplier for the PSAR Max. Also, In TradeIQ's revised version he substituted Hawkeye's Volume Indicator in lieu of Squeeze Momentum. We found that including both indicators we were getting better results so included them both. Feel free to experiment more. Would love to see how this could be improved on.
This strategy uses a combination of 4 open-source public indicators:
Parabolic Sar (built in)
10 in 1 MA's by hiimannshu
Squeeze Momentum by lazybear
HawkEYE Volume Indicator by lazybear
Trading Rules
5m timeframe and above. We saw equally good results in the higher (3h - 4h) timeframes as well.
Long Entry:
Parabolic Sar shifts below price at last dot above and then previous bar needs to breach above that.
Price action has to be below both MA's and 50MA needs to be above 200MA
Squeeze Momentum needsd to be in green or close to going green
HawkEYE Volume Indicator needs to be show a green bar on the histagram
Short Entry:
Parabolic Sar shifts above price at last dot below and then previous bar needs to breach below that.
Price action needs to be above both MA's and 50MA needs to be below 200MA
Squeeze Momentum needsd to be in red or close to going red
HawkEYE Volume Indicator needs to be show a red bar on the histagram
If you know of or have a strategy you want to see myth-busted or just have an idea for one, please feel free to message me.
Hawkeye
Coral Trend Pullback Strategy (TradeIQ)Description:
Strategy is taken from the TradeIQ YouTube video called "I Finally Found 80% Win Rate Trading Strategy For Crypto".
Check out the full video for further details/clarification on strategy entry/exit conditions.
The default settings are exactly as TradeIQ described in his video.
However I found some better results by some tweaking settings, increasing R:R ratio and by turning off confirmation indicators.
This would suggest that perhaps the current confirmation indicators are not the best options. I'm happy to try add some other optional confirmation indicators if they look to be more effective.
Recommended timeframe: 1H
Strategy incorporates the following features:
Risk management:
Configurable X% loss per stop loss
Configurable R:R ratio
Trade entry:
Based on strategy conditions below
Trade exit:
Based on strategy conditions below
Backtesting:
Configurable backtesting range by date
Trade drawings:
Each entry condition indicator can be turned on and off
TP/SL boxes drawn for all trades. Can be turned on and off
Trade exit information labels. Can be turned on and off
NOTE: Trade drawings will only be applicable when using overlay strategies
Alerting:
Alerts on LONG and SHORT trade entries
Debugging:
Includes section with useful debugging techniques
Strategy conditions
Trade entry:
LONG
C1: Coral Trend is bullish
C2: At least 1 candle where low is above Coral Trend since last cross above Coral Trend
C3: Pullback happens and price closes below Coral Trend
C4: Coral Trend colour remains bullish for duration of pullback
C5: After valid pullback, price then closes above Coral Trend
C6: Optional confirmation indicators (choose either C6.1 or C6.2 or NONE):
C6.1: ADX and DI (Single indicator)
C6.1.1: Green line is above red line
C6.1.2: Blue line > 20
C6.1.3: Blue trending up over last 1 candle
C6.2: Absolute Strengeh Histogram + HawkEye Volume Indicator (Two indicators combined)
C6.2.1: Absolute Strengeh Histogram colour is blue
C6.2.2: HawkEye Volume Indicator colour is green
SHORT
C1: Coral Trend is bearish
C2: At least 1 candle where high is below Coral Trend since last cross below Coral Trend
C3: Pullback happens and price closes above Coral Trend
C4: Coral Trend colour remains bearish for duration of pullback
C5: After valid pullback, price then closes below Coral Trend
C6: Optional confirmation indicators (choose either C6.1 or C6.2 or NONE):
C6.1: ADX and DI (Single indicator)
C6.1.1: Red line is above green line
C6.1.2: Blue line > 20
C6.1.3: Blue trending up over last 1 candle
C6.2: Absolute Strengeh Histogram + HawkEye Volume Indicator (Two indicators combined)
C6.2.1: Absolute Strengeh Histogram colour is red
C6.2.2: HawkEye Volume Indicator colour is red
NOTE: All the optional confirmation indicators cannot be overlayed with Coral Trend so feel free to add each separately to the chart for visual purposes
Trade exit:
Stop Loss: Calculated by recent swing low over previous X candles (configurable with "Local High/Low Lookback")
Take Profit: Calculated from R:R multiplier * Stop Loss size
Credits
Strategy origin: TradeIQ's YouTube video called "I Finally Found 80% Win Rate Trading Strategy For Crypto"
It combines the following indicators for trade entry conditions:
Coral Trend Indicator by @LazyBear (Main indicator)
Absolute Strength Histogram | jh by @jiehonglim (Optional confirmation indicator)
Indicator: HawkEye Volume Indicator by @LazyBear (Optional confirmation indicator)
ADX and DI by @BeikabuOyaji (Optional confirmation indicator)
Hawkeye Slimboy, (c) Hawkeye Traders LLCHawkeye Slimboy is built upon to Hawkeye Fatboy to provide cleaner divergence signals across multiple markets.
HawkEye Volume [aamonkey]This is an extended version of the HawkEye indicator by LazyBear.
I just added a sma to use as a filter.
ETH HawkEye Aggregated Volume IndicatorThis is combined Aggregated ETH Exchange Volume by Neobutane with HawkEye volume clone indicator by LazyBear.
Indicator includes aggregated raw ETH volume from 7 user selectable fiat and tether exchanges on USD, USDT, BTC, EUR, GBP, JPY pairs + Exponential MA + hawkeye bar coloring where: green is bullish volume , red - bearish and white - volume neutral to the market:
Bitfinex
Coinbase
Bitstamp
Kraken
Binance
Poloniex
Bittrex
*There is a TV bug that doesn't display a whole volume history if some pair was added later than date intended to be analysed by operator eg, if you want to watch older data you should exclude all secondary pairs that were added later and switch off "newer" exchanges like Binance.
HEAVI - HawkEye Aggregated Volume IndicatorThis is combined Aggregated BTC Exchange Volume by Neobutane with HawkEye volume clone indicator by LazyBear.
Indicator includes aggregated raw BTC volume from 9 user selectable fiat and tether exchanges + Exponential MA + hawkeye bar coloring where: green is bullish volume, red - bearish and white - volume neutral to the market:
Bitfinex
Coinbase
Bitstamp
Kraken
Binance
Poloniex
Bittrex
bitFlyer
Bithumb
Hawkeye Grabba ShortGrab pips with Hawkeye Grabba
Grabba is a simple mechanical system that you can manage yourself, using your own risk and reward profile.
The Hawkeye Grabba is a risk management tool which provides traders with a visual representation of the risk-to-reward profile on every trade.
For example, you can apply your own profit targets (say 10 pips) and each line will show you that multiple.
As with all the Hawkeye Indicators, Grabba can be applied to any timeframe and any chart and can be custom set to be used on any market, i.e. Forex, stock indices, commodities, etc.
Hawkeye Grabba LongGrab pips with Hawkeye Grabba
Grabba is a simple mechanical system that you can manage yourself, using your own risk and reward profile.
The Hawkeye Grabba is a risk management tool which provides traders with a visual representation of the risk-to-reward profile on every trade.
For example, you can apply your own profit targets (say 10 pips) and each line will show you that multiple.
As with all the Hawkeye Indicators, Grabba can be applied to any timeframe and any chart and can be custom set to be used on any market, i.e. Forex, stock indices, commodities, etc.
Hawkeye Grabba AutoGrab pips with Hawkeye Grabba
Grabba is a simple mechanical system that you can manage yourself, using your own risk and reward profile.
The Hawkeye Grabba is a risk management tool which provides traders with a visual representation of the risk-to-reward profile on every trade.
For example, you can apply your own profit targets (say 10 pips) and each line will show you that multiple.
As with all the Hawkeye Indicators, Grabba can be applied to any timeframe and any chart and can be custom set to be used on any market, i.e. Forex, stock indices, commodities, etc.
Hawkeye Levels ATR downExit at the right time with Levels ATR!
Levels ATR is a powerful series of user pre-defined levels, which act as both potential exit positions and stop loss management.
The Levels ATR indicator helps traders identify clear exit strategies.
Inexperienced traders can:
spend too long focusing on where to enter the position
spend no time on where to exit or take profits
allow the market to dictate the exit following a particular chart pattern or set up
be panicked into exiting
Few traders concentrate on their exit strategies, yet this is where the big profits are made!
Hawkeye Levels ATR upExit at the right time with Levels ATR!
Levels ATR is a powerful series of user pre-defined levels, which act as both potential exit positions and stop loss management.
The Levels ATR indicator helps traders identify clear exit strategies.
Inexperienced traders can:
spend too long focusing on where to enter the position
spend no time on where to exit or take profits
allow the market to dictate the exit following a particular chart pattern or set up
be panicked into exiting
Few traders concentrate on their exit strategies, yet this is where the big profits are made!
Hawkeye Levels ATRExit at the right time with Levels ATR!
Levels ATR is a powerful series of user pre-defined levels, which act as both potential exit positions and stop loss management.
The Levels ATR indicator helps traders identify clear exit strategies.
Inexperienced traders can:
spend too long focusing on where to enter the position
spend no time on where to exit or take profits
allow the market to dictate the exit following a particular chart pattern or set up
be panicked into exiting
Few traders concentrate on their exit strategies, yet this is where the big profits are made!
Hawkeye RoadkillWait for the Roadkill signal – then dive for the perfect kill!
Hawkeye Roadkill looks at multiple timeframes simultaneously, and then provides two entry signals, one based on the trend and the other on volume.
One of the biggest problems traders face is that whenever they see a signal or set up in one timeframe, they immediately look at a lower or higher timeframe chart to validate the signal for the confidence to enter the trade. This is a classic problem, and one that can be seen on virtually every trader’s screen, which can be cluttered with several charts, all with different timeframes and all giving different signals to the confused trader. Ultimately, the trader loses both money and confidence, and is no longer able to trade.
For example, if you are looking at a daily chart, does the weekly chart also suggest that your trade is valid? Or, if you are looking at a 15 minute timeframe, does the one-hour chart confirm your analysis? Often the two charts will differ in their signals, since a trend that has begun in one timeframe, may already be ending in another.
So you have two clear signals to get you into the market in your preferred timeframe.
Hawkeye KISSIt only takes one KISS – and this is it!
Hawkeye KISS is designed specifically for trading stock indices or equities. KISS, in one simple indicator, will instantly reveal who is controlling the price – either the buyers or the sellers. KISS tells you the advance decline issues that are occurring across the whole of the US stock market
KISS has just two lines to watch, a green and a red line. As the sellers in the market begin to increase, the red line rises, and consequently as buyers decrease, then the green line falls.
So where you have a diverging indicator with a red line rising and a green line falling, you know the market is in a bearish trend – it’s that simple. So you look for “shorting” opportunities which will be low risk trades because they are in harmony with market sentiment.
Similarly, when the green line is rising and the red line is falling, you know that buyers are increasing and sellers are decreasing, so you’re in a bullish trend. Here you look for opportunities to buy the market, once again giving you low risk trading opportunities.
KISS works in all timeframes, and is the perfect tool, whether you are an intraday scalper on the indices, or a longer term trader in equities. Kiss is a powerful indicator on its own, but when added to the other Hawkeye Indicators such as Volume and Trend, it becomes the ultimate strength and weakness barometer.
Getting into a trade at the right time and on the right side of the market is one of the keys to trading success. However, it is equally important to be patient, and KISS will let you know when you should stay out of the market. When the red and green lines are tightly bunched together, then the buyers and sellers are equally balanced. In other words the market is in congestion as no one has control, so we stay out.
Hawkeye FatboyFatboy is a powerful and extremely flexible indicator, and like Fatman, it instantly reveals which markets are overbought, and which are oversold. But it also reveals which markets are correlating and which are not, giving a valuable insight into the overall market in one simple picture.
The Fatboy can be configured to work with stocks and ETFs, and is very effective in identifying candidates for pairs trading.
Simply enter the index of a group of stocks, for example, Healthcare, and then place the top nine Health stocks in which you're interested in trading and it will show you those which are trading in harmony with the index or those against the Healthcare index. Obviously, you should always trade in harmony with the index.
When the markets are in a strong trend, the Fatboy lines ALL come together in unison. The stronger the price action, the tighter the lines are, appearing almost as a single line on the indicator. So when related markets are trending together strongly, you know it's a low risk trading opportunity – without having to study several different charts or timeframes. It's all presented on one simple screen.
However it is not limited to correlation. The Fatboy can identify divergence in markets and equities, identifying pairs trading at its best. Using inversely related instruments, the Fatboy will identify strengths and weakness in currencies versus futures, and so on. You can even use the Fatboy to identify sector strength or weakness.
Hawkeye FatmanFatman – the premier Forex strength meter that tells you where to start
The Fatman was the first of its kind in the world, and while many have attempted to emulate it, no one has perfected it like Hawkeye.
The main problem for Forex traders is which pair to trade. Fatman makes hundreds of calculations every second to present a visual picture of the strength or weakness of each currency. This indicator shows you what each currency is doing against the rest of the world’s major currencies, and shows low risk opportunities particularly when currencies are either overbought or oversold – get ready, there will be a change in trend and a great opportunity to trade.
Hawkeye Volume HTA higher timeframe version of Hawkeye Volume. Allows you to see the market volume across multiple timeframe, giving even better insight.
Hawkeye Volume Pack 1Contains the indicators Hawkeye Volume, Hawkeye VolumePB and Hawkeye Volume Radar.
Hawkeye TrendHawkeye Trend is Hawkeye Traders flagship product.
With Trend you get a true sense of the market trend rather than opinions from the financial media.
This powerful indicator tells you when a trend is commencing, in congestion and where the correct exit is. You’ll have the confidence to stay in a trend, a feat that proves difficult for most novice traders.
Trend+Stops is based on the Hawkeye Volume algorithm of pattern recognition and average true range. Using this tool will stop you from having "opinions" on market direction and allow you to take control of your trading.
One of the most difficult tasks in trading is to know when the market you are trading is in a trend, and when it is not. It is the correct selection of trades in trending markets that makes the difference between a profitable trade, and one that gets you stopped out with a loss.
The problem is that markets spend more time moving sideways than they do in a trend. Consequently many traders find themselves in a trade they believe is the start of a trend, only to discover that the market moved sideways, with the position being closed out at a loss. This is the single most frustrating part of trading, and it accounts for more traders making overall losses on their account than any other factor -- Hawkeye Trend overcomes this problem.