In this article am going to discuss the strategy, "GBPUSDV1", that i used during the September strategy contest where i managed to finish in the first rank.
The strategy is largely based on the Time Segmented Volume indicator. This indicator was developed by the Worden Brothers for use in the stock market. However the strategy can also work in the forex market.
The Time Segmented Volume indicator is an oscillator, that spots the discrepancies between the TSV and the Ask price of the pair in the forex market to determine possible entries and exits.
When the TVS indicator crosses above the zero line, it acts a signal for buying pressure. Conversely when the TVS crosses below the zero, it indicates selling pressure.
In the strategy, we look for a divergence between the TVS 10 and the TVS 3.
Pair Traded: GBP/USD
Volume/ Lot Size: 5M
Timeframe 15mins
Trading time: 6:00 to 00:00 GMT
Default stop loss is 20;
Default take profit is 40;
Indicators used
1. Time Segmented Volume with a period of 10(TVS10)
2. Time Segmented Volume with a period of 3(TVS3)
Declaring indicators in visual forex in the image above
Visualization of the open buy and open sell in the Visual Forex Editor
Sell Order
A sell order is opened if the TVS 10 < 0 well as the TVS3 > 0
Buy Order
A buy order is open if the TVS10 > 0 and TVS3 < 0
Other things in the strategy
No New Order is open if a new signal received when the profit/loss is -11
However if the the Profit/Loss is 11, a new order can be open and the last order closed
The strategy is largely based on the Time Segmented Volume indicator. This indicator was developed by the Worden Brothers for use in the stock market. However the strategy can also work in the forex market.
The Time Segmented Volume indicator is an oscillator, that spots the discrepancies between the TSV and the Ask price of the pair in the forex market to determine possible entries and exits.
When the TVS indicator crosses above the zero line, it acts a signal for buying pressure. Conversely when the TVS crosses below the zero, it indicates selling pressure.
In the strategy, we look for a divergence between the TVS 10 and the TVS 3.
Pair Traded: GBP/USD
Volume/ Lot Size: 5M
Timeframe 15mins
Trading time: 6:00 to 00:00 GMT
Default stop loss is 20;
Default take profit is 40;
Indicators used
1. Time Segmented Volume with a period of 10(TVS10)
2. Time Segmented Volume with a period of 3(TVS3)
Declaring indicators in visual forex in the image above
Visualization of the open buy and open sell in the Visual Forex Editor
Sell Order
A sell order is opened if the TVS 10 < 0 well as the TVS3 > 0
Buy Order
A buy order is open if the TVS10 > 0 and TVS3 < 0
Other things in the strategy
No New Order is open if a new signal received when the profit/loss is -11
However if the the Profit/Loss is 11, a new order can be open and the last order closed