Advanced trading software: technical analysis and neural networks

The article by Johnan Prathap in this issue, “Three-Bar Inside Bar Pattern”, describes the trading strategy that uses an inside bar as a three-bar pattern for long and short positions.

Using Tradecision’s Strategy Builder, one needs to create the THREE-BAR INSIDE BAR PATTERN strategy:

Entry Long Rule:

var
Cond1:=false;
Cond2:=false;
end_var

if Close > Close\1\ then
   Cond1 := true;
if High < High\1\ AND Low > Low\1\ then
   Cond2 := true;


If IsInPosition() = false then
   begin
        If Cond1 and cond2\1\ and Cond1\2\ then
           return true;
   end;
return false;

Entry Short Rule:

var
Cond2:=false;
Cond3:=false;
end_var

if High < High\1\ AND Low > Low\1\ then
   Cond2 := true;
if Close < Close\1\ then
   Cond3 := true;


If IsInPosition() = false then
   begin
        If Cond3 and cond2\1\ and Cond3\2\ then
           return true;
   end;
return false;

Exit Long Rule:

If IsLongPosition() = true then
   return true;

return false;

Exit Long Limit Price:

var
Tr:=0.75;
end_var

return SignalEntryPrice + 
(SignalEntryPrice * Tr/100);

Exit Long Stop Price:

var
Sl:=0.75;
end_var

return SignalEntryPrice - 
(SignalEntryPrice * Sl/100);

Exit Short Rule:

If IsShortPosition() = true then
   return true;

return false;

Exit Short Limit Price:

var
Tr:=0.75;
end_var

return SignalEntryPrice - 
(SignalEntryPrice * Tr/100);

Exit Short Stop Price:

var
Sl:=0.75;
end_var

return SignalEntryPrice + 
(SignalEntryPrice * Sl/100);