Traders.com

VT TRADER: MARCH 2013

In his article in this issue, “Camarilla Points,” author Slawomir Bobrowski describes camarilla points as being similar to pivot points and explains that camarilla points are eight levels around which market prices fluctuate — four levels of resistance and four levels of support; fifth levels of resistance & support have been added to handle breakouts. Bobrowski mentions that camarilla points are best suited for range trading and goes on to outline several different trading methods, with examples, based on the application of these levels.

We’ll be offering a camarilla points indicator for download in our VT client forums at http://forum.vtsystems.com along with hundreds of other precoded and free indicators and trading systems. The VT Trader instructions for creating the aforementioned indicator are as follows:

Camarilla Points

1. VT Trader’s Ribbon → Technical Analysis menu → Indicators group → Indicators Builder → [New] button
2. In the General tab, type the following text into each corresponding text box:

   Name: TASC - 03/2013 - Camarilla Points - 24Hr Cycle
   Function Name Alias: tasc_CamPoints
   Label Mask: 
   TASC - 03/2013 -Camarilla Points - 24Hr Cycle (Calculation Time: %CalculationHour%:%CalculationMinute%)
   R1 = %Resistance1%, R2 = %Resistance2%, R3 = %Resistance3%, R4 = %Resistance4%, R5 = %Resistance5%
   S1 = %Support1%, S2 = %Support2%, S3 = %Support3%, S4 = %Support4%, S5 = %Support5%
   Placement: Price Frame
   Data Inspection Alias: Camarilla Points - 24-Hr Cycle

3. In the Input Variable(s) tab, create the following variables:

   [New] button...
   Name: CalculationHour
   Display Name: Calculation Hour
   Type: integer
   Default: 17
   [New] button...
   Name: CalculationMinute
   Display Name: Calculation Minute
   Type: integer
   Default: 0

4. In the Output Variable(s) tab, create the following variables:

   [New] button...
   Var Name: Resistance5	
   Name: (R5)
   Line Color: light blue
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Resistance4	
   Name: (R4)
   Line Color: light blue
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Resistance3	
   Name: (R5)
   Line Color: blue
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Resistance2	
   Name: (R5)
   Line Color: dark blue
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Resistance1	
   Name: (R5)
   Line Color: dark blue
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Support1	
   Name: (S1)
   Line Color: dark red
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Support2	
   Name: (S2)
   Line Color: dark red
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Support3	
   Name: (S3)
   Line Color: red
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Support4	
   Name: (S4)
   Line Color: light red
   Line Width: 1
   Line Type: solid line
   [New] button...
   Var Name: Support5	
   Name: (S5)
   Line Color: light red
   Line Width: 1
   Line Type: solid line

5. In the Formula tab, copy and paste the following formula:

   {Provided By: Visual Trading Systems, LLC}
   {Copyright: 2013}
   {Description: TASC, March 2013 - "Trading In Multiple Time Frames, Camarilla Points" by Slawomir Bobrowski}
   {File: tasc_CamPoints.vtscr - Version 1.0}
   _Hour:= Hour();
   _Minute:= Minute();
   CalculationTime:= Cross((_Hour=CalculationHour AND _Minute>=CalculationMinute),0.5);
   CalculateLookBackPeriods:= Barssince(CalculationTime=1);
   LookBackPeriods:= valuewhen(1, Cross(0.5,CalculateLookBackperiods), ref(CalculateLookBackPeriods,-1)+1);
   _H:= valuewhen(1,CalculationTime=1,HHV(H,LookBackPeriods));
   _L:= valuewhen(1,CalculationTime=1,LLV(L,LookBackPeriods));
   _C:= valuewhen(1,CalculationTime=1,C);
   _Range:= _H-_L;
   Resistance1:= _C + _Range * (1.1)/12;
   Resistance2:= _C + _Range * (1.1)/6;
   Resistance3:= _C + _Range * (1.1)/4;
   Resistance4:= _C + _Range * (1.1)/2;
   Resistance5:= (_H/_L) * _C;
   Support1:= _C - _Range * (1.1)/12;
   Support2:= _C - _Range * (1.1)/6;
   Support3:= _C - _Range * (1.1)/4;
   Support4:= _C - _Range * (1.1)/2;
   Support5:= (_C-(Resistance5-_C));

6. Click the “Save” icon in the toolbar to finish building the camarilla points indicator.

To attach the indicator to a chart, click the right mouse button within the chart window and then select “Add Indicator” → “TASC - 03/2013 - Camarilla Points - 24Hr Cycle” from the indicator list.

A sample chart is shown in Figure 11.

FIGURE 11: VT TRADER. Here, the camarilla points indicator is shown on a EUR/USD one-hour candlestick chart.

To learn more about VT Trader, visit www.vtsystems.com.

Risk disclaimer: Past performance is not indicative of future results. Forex trading involves a substantial risk of loss and may not be suitable for all investors.

—Visual Trading Systems, LLC
vttrader@vtsystems.com, www.vtsystems.com