Fibonacci retracement filter

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giulio de meo
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Image 103

Image 104

I was thinking about a new strategy to implement in CP.Maybe also someone can give some advices on how to improve it.

So the strategy works like this. We will draw a trend line on higher time frame like h1.

Then we will go to lower timeframe like M5 and we will try to best catch retracements.


To best catch retracements we will use fibonacci retracements. I will post a picture so it will be more clear for everybody.

Another confirmation of entry that i use when i trade, is volume. When Price approaching Fibonacci line, and there is decreasing volume, is Good confirmation.

PS: I still need to try this strategy and find best way to use it.

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drago babnik
Quote from Sai Pratap

We can also make a non-martingale set with this strategy. :)

Thanks.

I hope we succeed. Fibo is quite time consuming in set optimization.

We now have Type: 1. On retracement; 2. On retracement + opposite direction. We need another 3. On opposite direction only.

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Sai Pratap

We can also make a non-martingale set with this strategy. :)

Thanks.

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Andrey Khatimlianskyi
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Done in 2.25

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Andrey Khatimlianskyi
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Hmm. It has sense, let's implement it.

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drago babnik
Quote from Andrey Khatimlianskyi

You want to fix Fibo till the end of the bar, but analyze the current price?

I would just like Fibo to be fixed on 1- 3 days (bars) and the carrent day would not change its values. I would trade (trigger) on TF 5 min.

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drago babnik
Quote from Andrey Khatimlianskyi

2. Still can't understand.

What moment do you analyze? The end of the fibo drawn? Or the end of the chart?

120% will never be reached, last price is always between 0% and 100%

I mean Fibo extension levels. In week 1, we fix Fibo to values from 0 to 100. Fibo values remain unchanged throughout the following week. Common Fibonacci extension levels are 61.8%, 100%, 161.8%, 200%, and 261.8%.

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Andrey Khatimlianskyi
Quote from drago babnik

I apologize, but if I set "Use closed bars = true", every maximum and every minimum carrent value regardless of TF changes my Fibo properties.

You want to fix Fibo till the end of the bar, but analyze the current price?

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drago babnik
Quote from Andrey Khatimlianskyi

1. Because of "Use closed bars = true". Set it to false.

I apologize, but if I set "Use closed bars = true", every maximum and every minimum carrent value regardless of TF changes my Fibo properties.

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Andrey Khatimlianskyi
Quote from drago babnik

2. Proposal 2 means the following:

Fibo # 1 is supposed to open BUY at Fibo level retracement (support) e.g. 40%

Fibo # 2 is supposed to open SELL at Fibo level correction (resistance) e.g. 120%

2. Still can't understand.

What moment do you analyze? The end of the fibo drawn? Or the end of the chart?

120% will never be reached, last price is always between 0% and 100%

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Andrey Khatimlianskyi
Quote from drago babnik

Hi,

First to the first question.

Fibo1 (On retracement; TF = 1Day; Bars for range = 3; Fibo level = 40; Use closed bars = true; Open on individual signal).

I would suggest opening a new deal as soon as the Fibo level is reached. It currently works by considering the Fibo level the next day when the Fibo parameters change.

1. Because of "Use closed bars = true". Set it to false.