System configuration “Big jackpot”
It is difficult to call this system simple, since its algorithm is based on the use of four indicators:
You can download all these tools separately at the end of the article or take them in a ready-made template. How to install them on the MT4 terminal chart and with what settings, we will figure it out further.
How to correctly install all these indicators on the chart depends on how you downloaded them – individually or using a template.
In this case, you should not only download the indicator files and install them in the required directory, but also manually configure each instrument.
Indicator files must be placed in the “Indicators” folder (“MQL4” subfolder) of the MT4 root directory. Next, you need to open the terminal or restart (close and start again) it, if it was open at the time the indicators were installed in its directory. After that, the instruments can be installed on the chart and configured according to the rules of the TS that uses them.
There are several ways to install all these instruments on the chart:
- Through the “Navigator” (on the “View” tab of the MT4 toolbar);
- Pull them onto the chart from the MT4 tools catalog (terminal toolbar, menu tab “Insert” → “Indicators”) by selecting from the appropriate class (Trend, Oscillators, Volumes, Custom):
2. By template
Here it is enough to download the “Big Jackpot” TS template, which contains the files of all indicators “hard-wired” into it with the necessary settings.
The “template” itself is a configuration file with the “.tpl” extension. In our case, it is called “a-king’s_ransom.tpl”. We place the indicator files in the same directory as in the first case. The template file should be placed in the “Templates” directory, which is located in the MT4 root directory at the same level as the “MQL4” folder. After that, you need to open (or restart) the terminal, open the template file and all indicators will be simultaneously installed on the chart with all the necessary settings.
You can open the directory with downloaded templates:
- From the context menu (by right-clicking on the background of the active working window);
- From the MT4 tools menu, following the path “Charts → Template → Load Template”;
- By clicking on the corresponding icon located in the terminal toolbar:
All instruments loaded into the terminal according to the rules of this strategy will look like this on the chart:
Of course, you can enter the settings of any instrument and change the properties of its visualization on the chart. The parameters of the values of levels, periods and other data affecting the algorithm of its operation cannot be changed. Here are the values of the “Input Parameters” for each indicator of this strategy:
Trading rules for the “Big jackpot” strategy
Gradually, you and I have come closer to the moment when we have to study the trading rules of this TS. We will find out what these signals are, what actions a trader should perform in the terminal.
Despite such a “solid” set of indicators, the trading rules are quite clear, and the indicator signals are visually simple. The instruments of this vehicle give non-ambiguous signals. As for entering the market, the rules of the strategy are clearly defined here:
The author recommends:
- TF (time period) – H1;
- Currency instrument – any currency pair.
- The red curve of the Ichimoku indicator crosses its blue curve from bottom to top.
- Here, in confirmation of the first signal, on the contrary, the blue curve of the MACD-2_1 indicator should cross the red curve in the same direction – from bottom to top.
- The dotted arc of the Parabolic indicator is bent downward, lies below the price level (under the candles) and draws its points in the direction from bottom to top.
- The signal from the ZigZag indicator is not yet a “broken” straight line, which confirms the current trend. The line is directed from bottom to top – an uptrend, from top to bottom – a downtrend.
This tool itself belongs to “reversal indicators” and shows the likely reversal points of the trend. If the refraction of this line occurs above / below any candlestick, the trader should make a decision regarding the further conduct of the transaction or its immediate close.
If all of the above conditions are met, you can enter the market by Buy:
- All the same signals as for purchases, only in a mirror image.
- The red Ichimoku curve crosses the red curve from top to bottom.
- The blue curve MACD-2_1 should also cross the blue curve from top to bottom.
- The dotted arc of the Parabolic indicator is bent upwards, lies above the price level (above the candles) and draws its points in the direction from top to bottom.
- The straight line ZigZag is not “broken” and confirms the current market trend.
Position closing rules
While everything is extremely clear with entry signals, this strategy does not provide any rules for signals to close positions. The author of this TS himself recommends closing deals “intuitively”. This is a strange formulation, if we remember that any trading strategy is, first of all, a system. Each system works according to a specific algorithm with clear rules.
The algorithm of any system operation includes the study of a cycle of events with a repeating set of certain conditions. If some conditions are met, the system issues some signals, if other conditions are met, then its signals will be different. The “Big Jackpot” strategy should consider such conditions and give the trader the appropriate signals to open / close positions. However, they are not in this strategy. The author’s advice on the “intuitive” exit from the market is puzzling, to put it mildly.
It is clear that such rules are “at the mercy” of the traders themselves. It is likely that in different market situations we will close deals in different ways:
- By breakeven;
- By Take Profit / Stop Loss (at your own peril and risk) in some specific ratio.
- According to the long-term principle of trading, you can conduct a transaction for a long time until some profit. In this case, you still need to rely on a kind of “limiters”, otherwise you can bargain for a serious pullback impulse and find yourself in a deep “minus”.
Agree, it is difficult to call the TS “Big Jackpot” a reliable trading system with specific input and output parameters. It turns out that we entered, we trade, and we close “intuitively”, ie. – “from the lantern.” If you still try to trade using this strategy, you need to introduce some of your own rules for closing positions. Probably, these will be the same “intuitive” rules.