Nihilist Trading System
Next we will present a trading system developed based on a series of customized indicators for MetaTrader 4 (therefore can not be applied on other trading platforms), which was created primarily for long term time frames (4 hours), which means it can be useful for traders who prefer longer-term operations and/or do not have time to observe the market all day. , and therefore seek a strategy that requires little time of dedication.
The personalized indicators in turn are based on the ADX, one of the most used technical indicators, which serves to measure the strength of the prevailing trend in the market. In principle, the system may seem somewhat complex, so it is important for the trader to practice with a demo account before using it with a real account, so that he will be accustomed to applying the different rules for both opening and closing positions. Despite this apparent complexity, in a short time the trader will become familiar with the system and discover its value, since longer-term time frames are usually more reliable and generate higher-reliability trading signals than intraday time frames, which are more exposed to market noise.
The custom flags and the MetaTrader 4 template are included at the end of the article.
System rules
-can be used to operate with any currency pair or metal spot.
-it is mainly recommended for long term time frames (4 hours, 1 day, 1 week).
Purchase signal
First histogram – Color Lima.
Second histogram (UTF-1) – Lime color or deep blue.
Third histogram (UTF-2) – lime color or deep blue.
Sales Signal
First histogram (ultratrained)-red color.
Second histogram (UTF-1) – Red or orange color.
Third histogram (UTF-2) – Red or orange color.
Exiting the winning positions
After having had a good profit (this is something subjective and must be determined by each trader).
The open position is left until the opposite signal is produced in the indicators.
Positions can be closed in weekly stands/resistors.
The trader can also use a trailing stop to follow the price if the market moves in favor of the position.
A fixed benefit-taking goal of 50/100/150/200 pips or more. To decide where to place the level of profit making, it is recommended that the trader be based on time frames greater than that used to open the position, for example daily or weekly.
Stop Loss
Purchase positions: A few pips below the last minimum of oscillation.
Sales positions: A few pips above the last maximum of the oscillation.
General recommendations
Stay out of the market when you are about to announce a high impact news, because during these events the market does not follow any rules and a surprise can be devastating for an operation.
Keep abreast of the following price levels that can lead to changes in market management and against our positions:
Weekly stands/resistors.
Weekly pivot points.
Weekly Fibonacci levels.
Psychological levels as round numbers.
Nihilist Ultra ADX indicator to confirm previous trading signals
The Nihilist Ultra ADX indicator is a custom histogram type indicator that was specifically designed for the MetaTrader 4 platform and derives from the well-known ADX.
How to use this set of ADX?
If 5 frames in a column show the green color, this means that the movement is extremely bullish.
If 5 frames in a column show the red color, this means that the movement is extremely bearish.
If each time frame (especially time frames 5 minutes to weekly) shows green or red on all tables, this means that the signal is extremely strong and we have an excellent opportunity to enter the market, in which we can use the maximum size of position that allows us our strategy of monetary management.
This is a fairly powerful indicator that never changes color after it closes a candle, and clearly shows the strength of the trend in different time frames. For this reason, it can serve as an excellent support tool for the other system indicators.
The above image shows the template with all the system's custom indicators. You can download the set of flags and the template for MetaTrader 4 in the following link:
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