A winner trend system

Good morning everyone!!

One of my teachers used to say to the students: "The class is wise", referring to the knowledge of all the class is enormous. The same feeling I perceive in MyFxBook.

That’s why I want to propose you the creation of a trend automatic system. With the experience of everyone who wants to participate in this challenge: the creation of a winner system.

For example we can start using the system of minimum and maximum breakpoints. If the price exceeds the maximum price of the last n candles, opens a buy. It will close when the price is less than n candles. As the next example chart:



In this case if the price exceeds the maximum price of the last 100 candles, opens a buy order. And if the price closes below the minimum of the last 40 candles, the order gets closed.

I developed the system for Metatrader 4 and the example is a one-hour timeframe and EURUSD from 2000 to 2009.
The results are shown in the following graph:



The report is:



What do you think of this system? I think it’s mediocrity, beacuse the benefit and profit factor are scarce, and the maximum drawdown of 13.58% is quite high, no one would like to lose 13%.

It's great because you can improve this system a lot, for example the benefit operations are only 41.20%, so it would be nice to add more filters to the system input, and then go testing them.

I’m waiting for your ideas!! I’m sure we can improved this system greatly by adding filters like RSI, Stochastic, etc....

See you soon!!

Hello,
we already have a system of trend, you can go to this address

http://www.stevehopwoodforex.com/phpBB3/viewtopic.php?f=5&t=1448

Regards
Hiroo59

Hello
I really like your system, and also the music. Can I try it, I would test it.
In your opinion what is the best way to detect a trend?
Thanks!
Regards!

No quality modelling , wrong method of backtest. For me? I wont be working on real environment. In that kind of backtest I can show You even +10000% on a month and I guarantee You that first trade that it will take on real, will be lost :)

Hi, I’m back!
I included the smooth moving average in the system, for better detection of the main trend. After that change the 1 hour chart has no visible results. The results do not vary substantially even if modifying the period of the moving average.
I had to reduce the test period to 15 minutes and the moving average filter has worked much better.
The parameters I used are the following:
Number of candles of resistance line 80
Number of candles of support line: 50
Period Smoothed Moving Average: 230
Stoploss: Not applicable. (by now)
TafeProfit: Not applicable. (by now)

And the results from 1/1/2000 to 1/1/2010 are:


The profit chart has improved but there are still periods of Great Falls:



The year 2008 was terrible for many automated systems, it seems that in our case too. The following graph shows three consecutive failures that occurred from 13 to November 19:



In my opinion the winner trend system is that we have greatly increased the benefit and the number of operations, but we haven’t reduced the maximum loss and we haven’t improved the profit factor.
EURUSD 2000-2010 Break Resistance Breaks and Moving averege
Benefit 2734 4155
Profit Factor 1.25 1.19
Operations 233 867
Maximun Drow Dawn 1600 1613
Benefit operations 41.20% 43.02%

What do you think the system? Do we add more indicators, such as a filter for false signals, add the StopLoss?
I’m waiting for your ideas!!
Of course if someone wants to test the system, send me a message and I’ll send you by email the latest system. It’s developed with Metatrader 4.
Thanks and regards!

My Spanish is not so good but the annual % is very very low or am I misunderstanding?

Hi!!
Which annaul % are you refering to?
Any ideas to improve the system??
I would like to test them
Regards!!