As soon as I ended up the development of this expert advisor I started to work on the next Watukushay EA, Watukushay No.2, which will be my second work for the project. Since the first expert was based on simple indicator trading with dynamically adjusted money management, I decided to base my second expert in a totally different approach. The second Watukushay expert will be based entirely on price action and will work on some very simple and successful candlestick patterns coupled with some simple trend following techniques.
The development of a system that will not be based on indicators will help traders see how to implement such a strategy and it will also serve as a way to illustrate how successful strategies can be programmed exclusively from price action. The money management used on this expert will also be different with no inclusion of the popular ATR adjustement technique I have been using in such an extensive manner during the past year. This new money management technique will also illustrate how there are different ways besides volatility indicators to adjust position as well as SL, TP or TL and it will also show how this can all be done with simple price action, with absolutely no need of any indicators.
Probably I will be finishing programming, testing and optimization sometime within the next two weeks but the inclusion of the whole development process on the ebook as well as the testing of the system on the newsletter will only probably start until early December when I finish the whole writing, editing and publishing process. I will give special care to the programming now so that everyone can have a very good understanding of how this candlestick pattern based expert was programmed and how I came by the trading strategy and optimized it to achieve the profitable results you may be hopefully looking at.
Those of you who are experienced in trading may be happy to know that I will be implementing the candlestick pattern with the highest probability of success, this turn out to be very simple, very studied candlestick patterns such as the hanging man, the hammer and the three soldiers. Of course, such knowledge of the probability of the candlestick pattern success did not come up from research of my own but from a careful review of the currently available literature. After reading several books about candlestick patterns with strong statistical analysis of the success rate of each pattern I kept less than five that proved to be the most likely to be successful in today’s forex trading.
What will the profit targets be ? Will it be more profitable than the god’s gift ATR or the Watukushay No.1 ? Stay tuned for more info on this ! If you would like to learn more about the Watukushay project, how you too can design and program your own profitable automated trading system or how you too can trade the free god’s gift ATR successfully please consider buying my ebook on automated trading or subscribing to my weekly newsletter to receive updates and check the live and demo accounts I am running with several expert advisors. I hope you enjoyed the article !