Is it possible to detect a corretion?
There are many ways to "guess" when a trend is over but you can't detect the correction 100% (Unless you can somehow see the future...) There is no magic indicator that will tell you that.
The price could continue to the next resistance level or could go look for support before resuming the trend or could go straight down due to lack of buyers, you never know what is coming, you can only take your best guess.
Fibonaccis, moving average crosses, bar close analysis... will give you hints but you will have to at some point choose one option and go for it. That is the nature of trading otherwise it would be too easy.
Good luck!
Hey Guys,
Finally I coded my EA to detect a trend and I'm very happy! - https://www.mql5.com/en/articles/136
But for the next step I need to know if the high point is over and the trend is now in the correction phase. Because my strategie doens't trade at the corretion phase.
Is there any way to detect the corretion phase?
I thought about a Fibonacci from the last low to the last high and if the market goes below the 23,6er Retracement, I set a signal. But the next problem on this solution is, that I can't trade until the market is back above the 23,6er Retracement.
So I would pass a lot of pips ... Has anybody other a good idea?
Greetings!
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Hey Guys,
Finally I coded my EA to detect a trend and I'm very happy! - https://www.mql5.com/en/articles/136
But for the next step I need to know if the high point is over and the trend is now in the correction phase. Because my strategie doens't trade at the corretion phase.
Is there any way to detect the corretion phase?
I thought about a Fibonacci from the last low to the last high and if the market goes below the 23,6er Retracement, I set a signal. But the next problem on this solution is, that I can't trade until the market is back above the 23,6er Retracement.
So I would pass a lot of pips ... Has anybody other a good idea?
Greetings!