what logic do you use to program when retracement in uptrend

[dbenie]

Hi Fxdreema and other forum friends,

I have attached a picture, please have a look at it. I am having a hard time to translate this logic or trade strategy into an EA.
The print screen is of EURJPY 1H chart on 20 June in the morning. EURJPY on 4H chart the stoch (15-10-10) is in uptrend. On the 1H chart we have a top (marked #1) and retracement (marked #2).

How would the programming look like to for this strategy to place a buy limit on #1 level when price is in retrace mode #2. Seems The logic would be to:
1 determine trend on 4H ( in this case an uptrend)
2 ea to be able to pin point a top (#1)
3 ea to pin point a retracement (#2) based on previous top ofcourse (#1)
4 while retracement is happening, place buy limit at price level of previous top (#1).

Any one is welcome to reply in a pragmatic way.

......
EURJPY 1H chart.JPG

[fxDreema]

To detect points, let's say 1 and 2, you know... there are indicators and candles or a combination of them. There are multiple ways of doing this - someone may use stoch, other can use MA, two MAs, PSAR, something else. But when you know what should be calculated, "Condition" block(s) are used basically.

Trend is detected mostly with MA or two MAs. When a single MA is rising (lower in older bar) or when the faster MA is above the slower one... you know.

In "Buy pending order" there is an option to put the order on certain level - Dynamic level. Whether it will be stop or limit order depends on where is the open price in relation to the current price, so there is no option to select "Stop/Limit". You can put that order somewhere with open price, sl and tp calculated on that moment, and you can also put the order and then move it depending on the market movement (this will probably require to create a loop - pink blocks).

Now the question is how will you know these points and when are they calculated.

[dbenie]

Indeed indeed, most interesting note there, how to determine these points.

As you know I have made probably 7-10 different ea's with your program. Out of those 5 are profitable but these are made based on different time frames (to determine trend) and either MA or Stoch to take long or short positions. However I am very much interested in "thinking out of the box" and determining new ways of making ea's. Maybe we can use some other indicators such as a support and resistance indicator or automatic trend line indicator in conjuction with trend tool, such as stoch or MA.

Your forum is an excellent format to help each other as forex trader. Hopefully we can help others to get some good idea's here and together make a profitable ea. This is our goal eventually. I know there are thousands of interested newbies out there looking for tools to help them make the right decission.

I hope a lot of forum friends will participate here and together come up with something constructive.
I will play around with a sup/res indicator and will keep you posted.

Thanks for your input.