I have broken the strategy into 6 groups for easier management by
other users. They consist: Sanity Checks, Indicators, Signal
Evaluation, Pipx’s Leverage, Trade Now and Position Management.
Sanity Check Group: Since it’s a scalper, it only trades when
spreads are less than 1 ensuring there is enough volatility in the
market. This group also involves checking the default instrument, time
period and number of open positions. Indicators Group: This strategy
uses 5 indicatorsRelative Strength Index (RSI), Money Flow Index
(MFI), Tom Demark Indicator (TD_I), Laguerre Indicator (LAGACS1) and
Ichimoku (Senkou Values). Indicator time periods are set to 4 with the
LAGACS1 using a lookback of 1000, gamma 0.66 and Moving Average of 4.
Ichimoku Senkou is set to 52. These values are arrived at through
continuous optimization and backtesting the strategy offline on
EUR/USD using 1 minute timeframe. Signal Evaluation Group: The logic
is to try and predict when a market turn is eminent and enter a
position in the expected direction. I.e. to buy or sell when levels
are in their extremities (oversold and overbought) and use Ichimoku
Senkou values as confirmation. In short, there must be confluence
amongst all 5 indicators for a signal to be valid. Position Management
and Pipx's Leverage Groups: Dynamic trade volume start at 50% of
equity, increases relative to equity and is capped at 8M. Position
management occurs onTick. It involves a custom trailing stop which is
triggered once the market moves +12pips and an initial stop loss of
-25pips placed on open. In case the trail profit move is rejected, the
strategy will close the open position at market price. This strategy
uses custom leverage instead of the default leverage and also allows
leverage to be set for use on Fridays. The lower Friday leverage
ensures positions opened on Friday are protected from the weekend
leverage requirement. Current settings are, 45% Fridays and 90% other
days. Trade Now Group: This is responsible for opening a position
after a valid signal has been confirmed. Caution: I have optimized
this for the contest (to win or lose the account). Do not use it on a
live account without lowering percentage risked to something like 0.5%
– 1%. (It’s at 50%) – Pipx

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