Creating a Trading System.

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John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Creating a Trading System.

This is addressed to Admin.
Greetings... I have watched a number of videos and have spent the last couple months evaluating indicators & what not on live charts. At this juncture I am wanting to begin the process of building an automated system, and the wealth of tools available is much appreciated. This stated, I've yet to locate a video or written instruction which specifically takes the viewer step by step into loading a system up. As an example the "Opening Range System" video. It's descriptive suggests how to build the system, yet it does not. Already created tokens are discussed, setting of their individual parameters etc. but nothing on establishing the primary trading rules, i.e. actually HOW to build it. The tokens utilized are nowhere to found also in my (latest) version, and this goes for other videos I have watched, notably the swing trades video.
If such a video exists, please advise; as what I am after is an initial training video, literally from scratch, which step by step builds a system and then backtests it. If it already exists please forgive me, I haven't found it. What I am running into on every video I've watched is an assumption one knows how to set up tokens already. I do get the sequence, I can click on something and it pops in there allright... Would like to see specifically a trade 'idea' developed into actionable tokens w/ their respective execution sequences, modification of the parameters and the backtest. Using one of your existing videos as mentioned above and recreating from zero would be ideal :)... In disclaimer I've yet to watch the backtest videos and they are probably just fine. Just hunting ground zero... Thanx... JM

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John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
More...

I have watched quite a few more videos and while some questions were intuitively derived I still respectfully request a video be produced which literally starts from zero. Once a simple system has been created, I've full faith I'm capable of building out something much more complex. As a line of thought, my ultimate goal, if possible, is to utilize both indicators and broad market data in one system. As an example of a simple system creation, how bout something like stochastics? An indicator of it's kind has a variety of conditionals to play with and hence set parameters to.... Building that out from zero can easily turn into a complex set of variables addition which would help tremendously in understanding the process of fine-tuning.

cpayne
Last seen: 1 year 1 month ago
Joined: 03/30/2009 - 00:00
Stochastic System from Scratch

John, I'll be glad to build a system from scratch and document it for you.  And we can base that system on the Stochastics indicator.  Give me more specifics on a starting point you'd like to work from.  For instance, buying when FASTD crosses above/below a certain level and shorting when FASTD crosses above/below a certainly level (with a specific stop and target).  Or buy when SLOWD turns up (or down).  Buy when FASTD crosses above SLOWD.  Let me know where you'd like me to start, and I'll go thru building the system from scratch over the next week as time permits.

John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Response

Thank you Chad I look forward to this :) !. In defining my purpose I am picking on Stochastics as there are so many variables to play with, it provides the opportunity to plug in, i.e. use, a variety of conditional statements. Which in the course of doing so provide the educational opportunity to watch you resource and activate them. I hope I don't overuse this invitation, but there are arguably upwards of 4-6 videos, possibly more, in this production sequence. Ultimately I want to put together a rather complex conditional argumentative, of which the stated purpose shall be to take serious advantage of backtesting to arrive at optimal settings for each variable; both separately and conjoined. I expect a heavy workload research-wise.
In answering your question, [and if I may] I see this educational sequence as follows:
1) Defining initial idea: Start with loading the very simple Fast/SlowD sequence you described.
2) Establish min/max levels for execution. These of course are adjustable. Example Buy on actionable cross below 15, sell on cross above 85.
3) In actuality the best use of stochastics I have seen is well into the move where both are on the rise for buy, conversely for sell. range 38 - 62. Possibly add a sequence (which can be kept but turned off) to capture this as well?
4) Once the stochastic sequence is completed, I would want to move into a series of if/then conditionals predicated on other resources to support execution decisions. For example I assume we can use anything we have loaded into one multi-pane chart, so say combine a sell decision from above with and/if conditional analysis of the NYSE at or below a given number, say minus 285. Once again here a lovely variable to play with in backtest.
5) In addressing sell-stops, one simple method is to of course choose a hard number. It would be a wonderful delve to sub-assign conditionals for this as well, for example to perhaps set stop/exit parameters predicated on volume, or time of day maybe, or both. I respect this gets complex, but this is my ambition; dive into every last nuance of behavioral coding I can get my hands on.
6) Putting these arguments together should suitably arm me with enough know-how to at that point create my own additional line-items.
7) Pushing your patience here, how about a sub-routine within this primary? The above is a specific conditional test. Say for example a sudden high-volume move occurs. I use tick charts. What if we have this running and then on my 1500 tick chart, sell volume closes a new bar ( so +1 ) within 2 seconds. These volume moves are excellent scalp targets. So the combined single program is now watching for two essentially separate conditions, as an executable override... Allowed?
8) Last thing: Is there a keyword searchable list of tokens/commands, or in the absence of this, simply a glossary of the tokens that explains their function in small detail?

Thank You Sir :)

cpayne
Last seen: 1 year 1 month ago
Joined: 03/30/2009 - 00:00
Video Series Project

I haven't forgotten about you John.  Will get started on this project this weekend.

John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Video project

No worries I see you've been working on the website...

John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Optimization

So I just discovered the optimization feature... OUTSTANDING :)!

John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Embarassed...

I don't know I have an excuse for not poring through the site a tad more thoroughly.. You have an extensive language library & instruction already.... Apologies for being a moron :)....

John Moss
Last seen: 7 years 6 days ago
Joined: 12/22/2016 - 16:37
Apologies + question

Chad,
I had a friend working on the programming side of my project and had relied on him to investigate the programming and he had not bothered either to notice or to share information found under the features tab, nor had I paid attention to it as I assumed he would have found all available materials. So sincere apologies for a barrage of idiotic comments. I am rapidly working through the instruction. You may delete the email I sent you unless you've any desire to visit it for your own purposes...
With that in mind, catching price/volume spikes can be done in a number of ways now that I am poring through available tokens, and am curious if you've been down this road yet. One important objective would be to shave critically valuable milliseconds off the analysis engine by choosing the fastest method of spike capture and evaluation. Two thoughts arise: one is to set low value tick bars and watch for split second new bars being formed, or perhaps use a higher value tick that opens and closes at high speed. If you've not tried this before I will certainly test a variety of them.
Curious though if you have an opinion... I see for example you created the HLR, specifically the VO/HLR basic argument. Can this be utilized in a milliseconds comparative?

cpayne
Last seen: 1 year 1 month ago
Joined: 03/30/2009 - 00:00
Capturing Volume Spikes

There are 2 approaches you can take: 1) time-based bars and look for high volume per bar (or high volume for last x bars) or 2) volume based bars and look for a high frequency of bars over time.  As an example of 1) you might use 5 second bars, and use an indicator like Statistics to sum the volume of the past 12 bars to give a moving 1-minute window of volume and you could then just look for STAT > 1000 or C#1 or whatever threshold you wish.  Volume Breakdown even has an option to sum volume of last x seconds as seen below.

And of course, you could take this further and look for volume spikes at any given price or group of prices using indicators like Price Volume Pattern (PVP) or TradeDots.