HOW-TO: Auto Harmonic Pattern - Backtester

4 Jan 2023

Hi All,

Here is a short video on how to use Auto-Harmonic-Pattern-Backtester-Trendoscope for building strategies using harmonic patterns.

CAUTION: THIS IS NOT A STRATEGY AND SHOULD NOT BE FOLLOWED BLINDLY. WE ENCOURAGE USERS TO UTILISE THIS AS BACKTESTING TOOL FOR BUILDING THEIR STRATEGY BASED ON HARMONIC PATTERNS

Notes about Strategy Properties

• Qty is percentage based and non leveraged. Since pattern size is not uniform, risk per trade is not uniform per trade as well.
  
• Default pyramiding is set to 4 - which means not all patterns will have trade if number of open trades is already 4
  

Key Settings

• Can be either long or short mode but not not both. This is due to pine limitations.
  
• Entry, Stop and Target settings along with Base are important in defining your strategy.
  
• External filters plays a major role in adding external elements to the strategy. This also enables users to build their own filters. More details in this video
• Strategy based alerts are different than custom alerts defined in settings. Custom alerts will fire for every pattern whereas strategy alerts will only fire upon generated trade signals. More details about Alert customisation is explained here.
  
• When setting alerts, please turn off displays - pattern drawing and tables. And also limit backtest to minimal bars.
  

Please let me know if you have further questions.