Perhaps you know that the most problematic aspect of trading, when working with the indicator, is the ratio between lag and smoothing. In order to remove sharp noises, it is necessary to increase the smoothing period, but this will lead to a delay in the signal when the trend changes. But if you lower the smoothing period, it gives many false signals. To find the perfect balance between the two components, you should get acquainted with the interesting indicator "Laguerre."
"Forex without risk"
The course starts on September 22 at 20:00 - 21:00.
The purpose of the training is break-even trading, profit from 10% per month (risk not less than 2%), psychological comfort in trading.
Currency pairs: any.
Trading time depends on your strategy.
How to use in trade?
This tool should be used, so you trade on a trend. It displays Forex market cycles on the selected timeframe more accurately, compared to other tools.
The main advantage of the indicator is that it shows well the initial and final stage of "microtrands," so it is more suitable for short-term trade on small taimframes. Of course, this indicator is not a separate system, so it needs to be combined with other indicators, such as "Three Elder Screens," which I, as a trader-analyst, use daily.
Installation of the indicator
To start the indicator:
Download it by link at the end of the article.
To unpack archive.
Copy .ex4 and/or .mql file (s). To the terminal MQL4/Indicators in the terminal of the first terminal.
To enter the file, go to the terminal, click File - > Open Data Catalog.
Go to the MQL4 - > Indicators.
In the Indicators box, insert the Vash indicator.
Reset the plate, turn it off and on.
Setup of the indicator
Open the folder of the unit on which the index will be installed.
In the upper panel, open the Index - > Indictors - > Usatelsky and select the old index.
A window will pop up with the user 's index structures. If desired, make adjustments and click Ok.
Gma (default = 0.7) is the factor for level accounting. The higher the gamma, the more sintered the line will be at the outlet.
CountBars (default = 950) is the maximum number of bars on which the index will be read.
Details for the index database
The indicator acts as an oscillator where the end values range from 0 to 1.
Opening purchase transaction: indicator line above 0.5.
Opening a sales deal: the indicator line is below 0.5.
Close purchase transaction: indicator crosses line 0.5 or 0.8 from top to bottom.
Closing a sales transaction: the indicator crosses a 0.2 or 0.5 bottom-up line.
To successfully trade with this tool, you can:
Take 2 EMAs and enter the market at the time they cross.
Filter the signals to the input with 2 "Laguerre" indicators: gamma 0.6 and gamma 0.8.
When the slow sliding crosses the fast up, the fast Laguerre is above 0.8 and the slow starts to grow from below and crosses 0.2, this is the moment to enter the shopping.
When the slow Laguerre indicator crosses 0.8 top-down, this is the moment to exit shopping.
For sales, everything is mirrored.
I checked that this strategy works well in combination with the Training Stop on the H4 timeframe. But the number of signals is small.
Another example is EMA CSI Laguerre
Time of trade: European and American sessions.
EMA: with period 120.
Laguerre: with gamma 0.5 and levels 0.1 and 0.9.
CSI: with period 14 and levels/- 5.
Signal on purchase
1) EMA (120) of the candle under inspection, above the indication of EMA indicator (120) of the previous candle - i.e. EMA (120) is directed upwards.
2) Laguerre index = 0.
3) CSI (14) is below -5.
Signal for sale
1) EMA (120) of the spark plug, below EMA (120) of the previous plug - i.e. EMA (120) is right down.
2) Laguerre indicator = 1.
3) CSI (14) is located above level 5.
Example of a deal na sell:
Take Profit I usually install later, but after passing the price at 10 points, it is necessary to transfer the deal to a break-even. Stop Loss puts 15 points below the opening price, Training Stop from 10 points.
The indicator is designed to trade by trend, so it is used as a confirmation of the signal to enter/exit the market. It 's pretty simple and understandable. Of course, it will not be possible to get rid of the lag, but in the case of Laguerre you will be able to receive more accurate signals on the deal and reduce the number of false signals.