Can Price action be coded made into algorithm?

[padutrader]

This may not be a very smart question but as you can see i do not know ABC of computerized trading.

I am interested in knowing only for general knowledge.

i am not interested in computerised trading though it seems like a dream come true-the computer will trade while you play golf or even when you are dreaming of AJ

 

[fordewind]

It can be but wont help.

 

[padutrader]

interesting reply but i do not know A of that..leave alone the B & C

 

[fordewind]

PA may have different interpretations.My own is on the image.10 possible (finite) price cases that defined and ided.

 

[Troy Bombardia]

Yes, it can. You can do it in Metastock. Price action is essentially a pattern. Quantify that pattern, and add it into your trading model

 

[tprintl]

yes.. i do this all the time. Tradestation based algos --> into my ATS (autotrade software) then into MT4 for forex , fusiontraderfx, or CTS for future and or IB or sterling

for Stocks. I log in and tun the software on and off if need be via teamviewer.

 

[userque]

This may not be a very smart question but as you can see i do not know ABC of computerized trading.

I am interested in knowing only for general knowledge.

i am not interested in computerised trading though it seems like a dream come true-the computer will trade while you play golf or even when you are dreaming of AJ

Yes, it can. But as you've read--'it don't help everybody.'

 

[tprintl]

every trader is different.. i will tell you this. I ran 35 traders in 2007-2011 trading SPY and we averaged 1-2% of the SPY volume. The only reason it worked for me and traders was they had a path to follow when times got tough. Knowing the path and following are 2 very different ideas.

 

[toucan]

yes.. i do this all the time. Tradestation based algos --> into my ATS (autotrade software) then into MT4 for forex , fusiontraderfx, or CTS for future and or IB or sterlingView attachment 186151 for Stocks. I log in and tun the software on and off if need be via teamviewer.

tprintl…. I see that the tradestation portion is in simulation and is using an “always in a trade” process. For real time trading, what filters do you use to reduce trades to a manageable number and reduce trading costs and what logic do you use for trade entry and trade management once in the trade. Or are the 2 kase charts just an example of how data flows from charts to other systems.


Thanks in advance


toucan

 

[tprintl]

we use a concept called D2 or second derivative modeling, where we filter the trades based trading system equity curve. this can get filtered again but it allows traders to cherry pick how and when they want to run the system but also look for one off ideas... i.e.. if they see negative system performance on "chop" system they can set up their ATS with wider offsets (entry) and pick of a few trades when system returns to profit |(upward sloping equity curve)