Time Based Renko Bars for ninja 7?
|July 15th, 2011, 06:07 PM||#11 (permalink)|
San Antonio, Texas USA
Futures Experience: Intermediate
Platform: NinjaTrader, Tradestation
Favorite Futures: Futures
Posts: 44 since Aug 2010
Thanks: 35 given, 33 received
You are very welcome. I do use the logikRenko vs. NT's renko, expecially if I am backtesting. It provides two advantages, the wicks prevent the strategy analyzer from deleting the price moves in between forming a new brick, and the matching of the close/open so the strategy will record an entry at the correct point at reversal bar conditions. There are some other more esoteric advantages of the logikrenko that I wont go into here. From what little I know about the specifics of Better Renko, Better may solve the two main problems I described above...not sure.
Regarding any advantage, they fact that they work correctly as opposed to NT's renko is certainly the elimination of a disadvantage. Any advantage would be the inherent use of Renko price movement. The break of a time chart is arbitrary, the same can be said for tick charts but to a lesser degree. As far as my trading goes, I do look at range charts occasionally, but my longer term trading is all Renko. My day trading/scalping is mostly tick charts and 5/15min. charts. I try to keep the number of charts I am using to trade to a minimum as well.
I have had Anthony over at purelogik (vs. logitek?) do some custom programming for me, but have only used his logikRenko as far as his off-the-self products. I have thought about looking into a couple of his others but havent' done so yet. I have found him to be a good resource for custom programming.
I trade based on price and have tried to keep my charts very clean, so like you I use almost no indicators. One thing I find very helpful with renko is how the pure price movement provides pretty clear indicators if you are using them. For instance, I would use moving averages much more with a renko than I would with a tick or time chart. They tend to assist me in seeing what is already on the chart, but helpful. If I were to generalize how I use renko, I would say that they tend to perform well when trading medium to longer term price swings. Since there is a marginal trade-off in accuracy by reducing noise levels, anything less than a 10 tick (or pip) accuracy in entries is a potential problem with renko. If your trading is not reliant on spot-on entries, trade and risk management is not as problematic as entry signals, and can perform with little disadvantage to other charts. So other than scalping, I would suggest renko is a good tool to keep at hand.
I would be happy to expand or comment on any specifics you might have in mind.
Hope I answered your question.