How Market Adaptive Trading can enhance entries
FX AlgoTrader have released a market adaptive trading system based on a triple moving average MetaTrader indicator.
Moving Averages (MAs) are an excellent way of identifying entry points in a strong trend however, the trick to this technique is being able to filter out rangebound markets. The FX AlgoTrader Triple Moving Avergage Crossover indicator with AutoTrading allow traders to isolate a historical point on a MetaTrader chart which displayed a strong trend. The system then calculates a bespoke trend profile matching these conditions and monitors the market in real-time for a similar trend profile. Once a matching trend profile has been identified the trading system then automatically opens a trade when the short term MAs cross either up or down.
The third longer term MA acts as a trend filter so for long trades the long term MA must be below the two short term MAs... for short trades, the long term MA must be greater than the two short term MAs. We define this approach as 'stacked MAs'.
By including an additional trend profile filter (a trader defined trend profile) the trader has the additional benefit of being able to stay out of the market in rangebound market conditions where MA crossover entry techniques do not perform well.
We think the inclusion of market adaptive technology is a massive game changer in smart auto trading tools.
For more information please visit the product webpage or contact info@fxalgotrader.com
Moving Averages (MAs) are an excellent way of identifying entry points in a strong trend however, the trick to this technique is being able to filter out rangebound markets. The FX AlgoTrader Triple Moving Avergage Crossover indicator with AutoTrading allow traders to isolate a historical point on a MetaTrader chart which displayed a strong trend. The system then calculates a bespoke trend profile matching these conditions and monitors the market in real-time for a similar trend profile. Once a matching trend profile has been identified the trading system then automatically opens a trade when the short term MAs cross either up or down.
The third longer term MA acts as a trend filter so for long trades the long term MA must be below the two short term MAs... for short trades, the long term MA must be greater than the two short term MAs. We define this approach as 'stacked MAs'.
By including an additional trend profile filter (a trader defined trend profile) the trader has the additional benefit of being able to stay out of the market in rangebound market conditions where MA crossover entry techniques do not perform well.
We think the inclusion of market adaptive technology is a massive game changer in smart auto trading tools.
For more information please visit the product webpage or contact info@fxalgotrader.com
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