In a 4×100-metre relay race, one runner starts before the other, but in the end it’s the sum of the four runners that determines performance.
This is what automated forex trading is all about, where different indicators are combined to work together in the execution of the trades. The final outcome is more important than the results of the individual components, that is, in a strategy with 3 indicators all indicators have to point to the same thing for a trade to be consummated.
This article is about creating an automated trading strategy using three indicators, namely MACD, Aroon and the Alligator indicators using vjforex. This is a strategy that I have planned to employ in the November and December 2017 Dukascopy Strategy Contest.
Fig 1: Candle instrument and period
By using the default instrument and default period settings it will become easier to investigate how different currency pairs and time frames impact the strategy.
According to the trading rules of the strategy contest, the maximum amount of simultaneously opened positions is one and any further requests to open a new position will be re…