Oops. I had in mind to post a screenshot of the LMT Forex Formula in action in my previous post (below this one) but forgot at the last minute before I published the blog posting. Anyways, I decided to start a new post rather than lengthen the previous one which was only intended to be a sort of “announcement” post.
Here is how the system works when it’s all setup and running:
What you see in that image are 3 main indicators and an expert advisor (EA). The first indicator is a overall trend indicator (green arrow), then the second one is what Dean Saunders calls a trigger indicator, and the last indicator is a 10 period EMA (exponential moving average). The expert advisor you can see at the top right corner of the chart. Its job is to monitor the market for a proper entry point based on the rules of this trading system.
So essentially this LMT Forex Formula is a “semi-automatic” trading system. The expert advisor will alert you of a possible entry. Your job then is to confirm this entry by following a few simple steps which you’ll find in the PDF manual.
I am thinking that maybe this system can be fully automated – i.e turned into an expert advisor. I’ll get in touch with my coder and see what we can do. If I succeed in turning this into an EA I will be able to conduct a backtest and see how this system performed in the past 4-5 years. Of course I will publish my results as usual, so stay tuned to this blog (or better yet subscribe to the RSS feed.)
Ok, that about does it for this post. I’ll be back with some performance results as soon I can gather them.
Other useful resources:
To chat with other owners of this trading system I invite you to checkout this thread on my Forex Nirvana forum: