New York
Trading Experience: Beginner
Platform: NT
Broker/Data: AMP/CQG
Favorite Futures: ES
Posts: 122 since Oct 2011
Thanks: 14 given,
73
received

DM strategy
I have an idea for a strategy
It uses DM which comes with NinjaTrader
There are 2 values +D and D
At each bar close the strategy will calculate (+D)(D) taking both absolute values for +D and D
For example
+D=17.23
D=15.68
So the strategy will calculate 17.2315.68 and we will call this value D
Of course if D=22.16 then D=17.2322.16
I'm sure you get the idea by now
Whenever the strategy starts, it will calculate D after the close of the price bar
For bar 1 we have D1
For bar 2 we have D2
For bar 3 we have D3
And so on
To go long the value D has to be going up 2 price bars in a row and to to go short the value D has to be going down 2 price bars in a row
This is why when the strategy first starts, it will calculate D for 3 bars first and if D3>D2>D1 then it enters long position and if D3<D2<D1 then it enters short position
There is no target/stoploss/breakeven
The strategy will reverse on 2 consecutive D's going the other way
If it is long and D goes down in value for 2 price bars in a row then it will reverse short
If it is short and D goes up in value for 2 price bars in a row then it will reverse long
Sorry if it is complicated
Please let me know what you think
The strategy will always look back 3 price bars where the current D is D(n)
If D(n)>D(n1)>D(n2), it will enter long at market
If D(n)<D(n1)<D(n2), it will enter short at market
The strategy will reverse if the opposite condition applies
Thanks
