This is a MACD divergence strategy compounded by a martingale for
recouping of losses and a trade flip formula so as to switch
execution
sides. If there is a divergence between the MACD and price then the
strategy will either buy or sell depending on whether MACD is rising
or falling with regards to the opposite movement of the price. SL is
14 and trail 12. If a trade closes in red then the
martingale doubles down on the previous lots traded and a flip
formula is executed so as to switch execution sides. I have not yet
encountered such a flip
formula in this contest. The MACD divergence is one of the best
indicators and generally informs that the market is unhealthy,
however
it does not give a definite signal that, for example, trend traders
are looking for,
meaning if MACD rises and price falls then buy. In this strategy I
have chosen the contrarian view mostly associated with range trading.
But, as the signal can go both ways I have implemented the flip
formula so as to mitigate losses when actually being on the wrong side
of the divergence signal.