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This tutorial shows how MACD+Stochastic Expert Advisor can be used on charts of MT5 to Trade

Strategy Premise

MACD, short for moving average convergence/divergence, is a trading indicator used in technical analysis of stock prices. It is designed to reveal changes in the strength, direction, momentum, and duration of a trend in a stock’s price.

A Stochastic oscillator is a momentum indicator comparing a particular closing price of a security to a range of its prices over a certain period of time. It is used to generate overbought and oversold trading signals, utilizing a 0-100 bounded range of values.

Strategy Logic

Long Entry: When MACD is Above Zero and Stochastic is Rising

Long Exit: When MACD is Below Zero and Stochastic is Falling or Price Reaches Target or Stoploss

Short Entry: When MACD is Below Zero and Stochastic is Falling

Short Exit: When MACD is Above Zero and Stochastic is Rising or Price Reaches Target or Stoploss

MT5 Settings

To start Algo trading with MACD+Stochastic on MT5, simply follow the steps given below. 

MACD + Stochastic Strategy

1: Make sure you have completed Jump Start setup

2: Download zipped files from here and extract them. You will find three sub-folders: Experts, Indicators, and Include. The files in these sub-folders should be copied in your MT4 directory in the same folders. In MT4 Click on File => Open Data Folder=> Click on MQL4 => Experts folder. Copy-paste the downloaded file to the Expert folder.

3: (Optional, if indicator nor present in your MT4) In MT4 Click on File => Open Data Folder=> Click on MQL4 => Indicator folder. Download the Indicator file from here and copy-paste it to your Indicator folder. Also, paste files to your Include folder if not already present.

4: In MT4 => Tools => Expert Advisor => Check all option available as shown below. 

MACD + Stochastic Strategy

5: Go to navigator click on refresh to refresh indicator and expert advisor.

6: Now put MACD+Stochastic Expert Advisor on chart 

MACD + Stochastic Strategy

7: Change the Input Parameters as per your Requirement.

MACD + Stochastic Strategy

In Dependencies click on Allow DLL imports

MACD + Stochastic Strategy

8: Now put the MACD and Stochastic Indicator on the chart and Change the Parameter as per the Inputs Set in EA. 

MACD + Stochastic Strategy

Please note that the input parameters of EA and the indicator should be the same, or the signal generation will not match with the indicator.

APIBridge Settings – New Users

Before setting EAs to your system it is advised to add all the symbols in APIBridge to avoid order rejections. Make sure you use the Correct expiry and strategy tag as given in MT5.

Here are the Strategy Parameters

Strategy tagUse default STG1 unless trading in multiple strategies
PortThis should be same as API bridge port application will signal from same port
ExpiryPut contract expiry here
Order typeSelect order type here from MARKET,LIMIT, SLL,SLM
InstrumentSet the instrument as per APIBridge
Fast EMA PeriodValue of Fast EMA
Slow EMA PeriodValue of Slow EMA
MACD SMA PeriodValue of MACD SMA
K Line Period%K line Period for Stochastic
D Line Period%D line Period for Stochastic
SlowingSlowing for Stochastic
Trade TypeType of Trades to take
TargetTarget Value in Rupees
StoplossStoploss Value in Rupees