I have had another run with the simulation tests and changed the values of the moves to correctly reflect the decimated moves, however, my results are still not correct, I am having problems with the results being concentrated in one area of the chart, at the beginning of the chart I have a couple of long entries which then close at the end of the chart, whereas, I know for a fact that there were formations which should have shown up from previous trades, but didn’t. Now the key to understanding this might lie in the original setups below, because these work fine along the entire length of the chart and come with indications as they were supposed to, perhaps we should begin to understand the function of the setup before we make another one to do something slightly different.
Original Buy setup:
LLV(L,20)<Ref(LLV(L,20),-1) AND
Ref(L,-1)>Ref(LLV(L,20),-1) AND Ref(L,-2)>Ref(LLV(L,20),-2) AND
LLV(L,20)<Ref(LLV(L,20),-2) AND LLV(L,20)<Ref(LLV(L,20),-3)
Original Sell setup:
HHV(H,20)>Ref(HHV(H,20),-1) AND
Ref(H,-1)<Ref(HHV(H,20),-1) AND Ref(H,-2)<Ref(HHV(H,20),-2) AND
HHV(H,20)>Ref(HHV(H,20),-2) AND HHV(H,20)>Ref(HHV(H,20),-3)
What the Original Buy Setup is supposed to do:
The previous 20-bar low has to be at least 3-bars earlier. The close for the bar must be at or below the previous 20-bar low.
The entry buy is placed the next bar at the earlier 20-bar low.
What the Original Sell Setup is supposed to do:
The previous 20-bar high has to be at least 3-bars earlier. The close for the bar must be at or above the previous 20-bar high.
The entry sell is placed the next bar at the earlier 20-bar high.
What I would like to do (I have revised this to be more accurate):
For an entry buy:
The previous 20-bar low has to be at least 4-bars earlier. The low for the bar must be 10 points below the previous 20-bar low.
The entry buy is placed at the close of the next bar if the close is at least 13 points (or decimated) higher than the low (the way I came to this conclusion was simply by adding 10+3, because you cannot tell in a static historical chart what would have happened on that day, so naturally if a buy signal is to be generated, it has to be at the next bar, but, only if the last bar meets the criteria)
For an entry sell:
The previous 20-bar high has to be at least 4-bars earlier. The high for the bar must be 10 points above the previous 20-bar high.
The entry buy is placed at the close of the next bar if the close is at least 13 points (or decimated) lower than the high (the way I came to this conclusion was simply by adding 10+3, because you cannot tell in a static historical chart what would have happened on that day, so naturally if a sell signal is to be generated, it has to be at the next bar, but, only if the last bar meets the criteria)
Wabbit, this makes sense, but is there a way I can fit into the context of my problem with the original setup above? I hope my explanation makes more sense now.
Ref(Sum(L=LLV(L,16),16),-4)>0 AND
Ref(C,-1)<=(Ref(C,-2)-10) AND
C>=(Ref(C,-1)+3)
I am on the correct track with this now, even with not so promising results it is looking up, wabbit your help is really appreciated and Asish who also contributed to this post, if I come with anything any sooner I will post it.