DESCRIPTIONThe “classic” DailyFX PLUS Trading Signals is one of the most popular resources at DailyFX. It follows six diverse strategies and makes trading recommendations for 14 popular forex instruments. One of its strategies is called Momentum 2.
Momentum2 is designed to wait for a change in market sentiment before opening a trade. It uses a special filter to detect those changes in sentiment.
Momentum2 filters its trades with FXCM’s proprietary Speculative Sentiment Index (SSI). FXCM’s SSI can be an excellent tool to gauge trader positioning and sentiment in the forex market. Using this information allows Momentum2 to fine tune its trades, making sure that price and trader sentiment are at desirable levels. What does this app do?
The Momentum2 expert adviser (EA) is an automated trading strategy that buys and sells based on the trading signals generated by the “Momentum2″ strategy. TRADING LOGICTrades are opened when the SSI indicator reaches the 150-hour high or low. These high and low extremes indicate an imminent swing in prices. Momentum2 scans for these conditions and places trades accordingly. MONEY MANAGEMENTThe Momentum2 EA uses market orders to close positions. No stop losses or take profits will appear in the trade window. The EA uses a calculation of Average True Range (ATR) to determine when to close out positions. INPUTSThe following inputs are available in the EA’s properties window and can be defined by the app user: Money Management
Multiple: the trade size measured in lots. For example, in an account that has a lot size of 0.01, entering five as the multiple is equivalent to entering 0.05 on the MT4 platform. The trade size will be 0.05 per trade.
MaximumDeviation: the maximum slippage allowed, in pips, for each new trade created
Other
TimeInGMT: specifies the displayed time as Greenwich Mean Time or Eastern Time
REQUIREMENTSThis Expert Advisor (EA) is only compatible with FXCM MetaTrader 4 software. It does not operate on MetaTrader 4 software provided by any other brokerage. Additionally, an FXCM account is required (including free FXCM demo accounts).
You must have Microsoft .NET Framework 4 installed on your computer. This software is included in the EA installation file.
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