«©2014 MotiveWave™ Software ©2014 MotiveWave™ Software Version 1.0.2 Page 1 of 190 MotiveWave™ User’s Guide Table of Contents 1 Introduction ...»
3.19 Percent Change Charts Note: This feature is not available in Analyst or Trade Editions Normally the price plot shows the historical prices. Percent change charts are an alternate view that shows the change in the price between each bar as a percentage movement. A percent change chart can be displayed by changing the bar type from the drop down on the tool bar to Percent Change.
By default, percent change charts are calculated from the left most point of the chart. This can be changed to a specific bar by right clicking on the chart where you would like the calculation to begin.
Percent Change from a Specific Bar Two dashed lines will be displayed to visually indicate where the charts are being calculated (see below).
3.20 Studies MotiveWave™ has over 275 built in studies that can be used to display information on the price plot or separately in a plot below the price.
There are essentially two types of studies:
1. Overlays – display information that is drawn on top of an existing plot (most typically the price plot)
2. Study Plots – display information that is displayed in a plot that is separate from the price plot.
3.20.1 Adding a Study A study may be added to a chart by choosing one of the available studies can be found under the Study menu from the top menu bar. This menu organizes some (not all) of the studies into logical groups (based on author or function). The Add Study option enables you to search for a study instead of trying to find it in a sub-menu. For convenience, a Recent menu is available to access recently used studies.
When you add or edit a study you will see the study dialog similar to the one displayed below. Each study will have different settings and configuration options. The available tabs will depend on the study, but all study dialogs will have an Options tab and a Signals tab (if it generates signals).
Study Dialog - SMA Adjust the settings for the study and click on the Create button to add the study to the chart. For convenience, you can click on the Save Defaults button to save the study settings for the next time you create this study.
The following screenshot shows the Simple Moving Average (SMA) study from the Study dialog above.
Also shown is a Study Plot for the MACD study.
Chart Studies 3.20.2 Editing a Study If you would like to edit the settings on a study simply double click or right click and choose Edit Study.
126.96.36.199 Overlay Plot When you create an overlay study, by default it will use the Price Plot. Optionally, you can choose one of the existing plots to display the study. When you change the graph for the study, it will change the input options. For example, if you want to display a simple moving average (SMA) on an RSI study plot, you would choose the RSI(C,14) plot from the Options tab. When you choose this, the Input field (under the General tab) will be updated to reflect the inputs available from the RSI plot.
188.8.131.52 Study Bar Size By default when you create a study, it will use the bar size of the chart. When the chart bar size changes, the study will be automatically updated to reflect the new bar size. MotiveWave™ does allow you to choose a specific bar size for the study. This allows you to, for example, display a 5 minute EMA
(Exponential Moving Average) on a 15 minute chart. This feature also applies to study plots so you could
display a 10 minute RSI on a 15 minute chart (see example below):
Some studies generate signals. Signals occur when a specific event occurs with the study. For example, a signal may be generated in a CCI study where the CCI value crosses above the top guide. These signals can be used to show alerts, play sounds or even send an email notification. Note: if you want to send emails, you will need to configure your email (SMTP) settings in the Preferences dialog (Configure Preferences from the Console menu bar). You will find these options under the Email tab.
3.20.5 Instrument OverlayNote: This feature is not available in Analyst Edition
An instrument can be overlaid on top of the price plot by choosing Study - Instrument - Instrument Overlay from the top menu bar. This action will open the dialog displayed below. Type (or select from the drop down) the instrument that you would like to overlay in the Instrument field. Click on the Create
button to add this overlay to the price plot. This dialog has the following elements:
1. Instrument – Type or select the instrument.
2. Bar Type – Choose the type of bar you would like to display for the overlay (default is a line chart)
3. Line Source – If a line chart is chosen, this option allows you to choose the input source for that line (ie closing price, opening price etc)
4. Shift – the number of bars to shift the study forward (negative value for backward). Uncheck Lock Shift to enable dragging of the overlay backward or forward using the mouse.
5. Style – For line charts, choose the color, thickness and style of the line.
6. Show Axis – displays the axis for the instrument on the left hand side of the price plot
7. Inverted – Click to display the overlay upside down
8. Bar Updates – Click to enable live updates to the overlay instead of updates on the close of the bar
9. Show Legend – Shows the overlay in the study legend area
10. Show Label – Displays a label at the end of the overlay for the Instrument symbol
11. Show Bars/Line – This may be used to hide the bars or line chart.
The example below shows an instrument overlay for the USD/CAD pair on top of the price plot for the EUR/USD pair. The axis for the USD/CAD pair is displayed on the left hand side and has indicators for t he current prices. With Auto Scale enabled, dragging the chart left or right will automatically scale the values for the overlay.
Instrument Overlay Example The vertical scale of the overlay can be adjusted by clicking and dragging the space between the overlay axis and the price plot. Dragging from the top or bottom will add more top/bottom space. Drag from the middle to adjust both at the same time.
The horizontal location of the overlay can be adjusted by changing the value of the Shift field in the Instrument Overlay dialog. A positive value will shift the overlay into the future and a negative value will shift it into the past. If you uncheck the Lock Shift option you will be able to adjust the shift by dragging the overlay to the left or right with the mouse.
3.21 Strategies Note: This feature is not available in Analyst or Trade Editions A strategy is a special type of study that may be used to automate or partially automate trading. In addition to displaying the study information, a Control Box is made available that allows the user to activate/deactivate a strategy and view important runtime information.
MotiveWave™ supports two modes for strategies:
1. Automatic – Once the user activates the strategy, it will automatically buy and sell based on the internal logic.
2. Manual – In this mode, the user tells the strategy when it is OK to enter.
MotiveWave™ comes with around 30 built-in strategies. These can be found under the Strategy menu (from the top menu bar).
The following screen shot illustrates the Moving Average Cross strategy. This strategy will buy when the Fast MA crosses above the Slow MA and sell when it crosses below (see triangle markers below). Each strategy will have a control box (bottom left corner). This will enable you to edit the strategy and activate it. The control box also displays status information.
MA Cross Strategy 3.21.1 Manual Strategies MotiveWave™ allows you to create strategies that respond to user input to enter or exit a position. This can be very useful as a way to help direct and manage exit points for user initiated trades. For an example of how this works, see the Trade Manager strategy.
The following screen shots show the configuration options for Trade Manager. On the first tab (Entry/Exit) you can setup the entry order and up to 3 exit orders. The Stop Loss tab provides options for the stop loss order.
From the Trade Manager Control Box, you can choose Long (buy) or Short (sell). When you click the Activate button, the strategy will enter on the close of the bar.
Once the strategy is active, the title bar will flash (indicates an active strategy) and the Activate button will be replaced by Cancel (deactivates the strategy) and Enter Now (creates a market order to enter the position).
When a position is entered in the strategy, the labels in the control box will display the open position, current unrealized P/L (profit or loss), target P/L, stop P/L among other information.
3.21.2 Strategy Configuration The configuration options for a strategy will vary, but there are some settings that apply to many strategies.
The first panel is the Trading Options panel. This panel enables you to configure the following:
1. Trade Lots – This determines the quantity on the orders that are used to entry and exit positions.
The Trade Lot is multiplied by the default quantity to determine the actual quantity.
2. Position Type – Use this option to indicate if the strategy can have long and/or short positions
3. Enter On Activate – If enabled the strategy will create an initial position when you activate the strategy
4. Close On Deactivate – If a position is open when the strategy is deactivated, it will be closed at market price.
5. Bar Updates – If enabled, the strategy will respond to live bar updates instead of waiting until the close of the bar.
6. Underlay – If enabled, the strategy will be drawn behind the price bars.
The Trading Sessions section enables you to define sessions where the strategy may be active. In between trading sessions, the strategy will be automatically deactivated.
1. Session 1 – defines the first trading session with a start and end time
2. Session 2 – defines the second trading session
3. Time Zone – optionally specify the time zone for the hours defined in Session 1&2
4. Close On Session End – Closes an open position when the session ends
Panel The Panel tab allows you to choose what labels are displayed on the control box. The available labels will depend on the strategy.
1. Show Position – displays the current open position
2. Show Entry Price – shows the average entry price for the open position
3. Show Unrealized P/L – shows the current unrealized profit/loss for the open position
4. Show Realized P/L – shows the current realized P/L
5. Show Stop P/L – shows what the profit/loss would be if the stop loss level is reached
6. Show Target P/L –shows that the profit/loss would be if the target level is reached
7. Show Risk Ratio – shows the risk level (target p/l divided by stop p/l)
8. Show Total P/L – current total profit/loss since this strategy was activated Strategy Panel Options
3.22 Software Development Kit (SDK) Custom studies and strategies can be programmed using our Software Development Kit. For more information on this, please visit our website: http://www.motivewave.com/support/sdk.htm
3.23 Tool Bar A tool bar is available from the Console or from a Chart Window and contains a convenient set of buttons for performing common operations on a chart. This tool bar may be configured from the Preferences dialog (Configure - Preferences from the Console menu bar). Additional tool bars may be added to the bottom or sides of the window.
Actions can be added or removed from a tool bar by selecting them on the right side (to add) or left side (to remove or re-order) and use the left and right arrow buttons in the center. You can re-order the buttons and add separators (or spacing) by selecting the action on the right and side and using the buttons to the far right.
Tool Bar Preferences Additional tool bars can be added to the windows by selecting the desired tool bar from the drop down and checking the Enabled box to the right. The Compact option is for changing the buttons that are available on the tool bar when in Compact Mode.
3.24 Lock Studies The Lock Studies feature is a convenient way to keep the current set of studies on a chart when you change the instrument. Choose View - Lock Studies from the top menu bar to enable this feature on the selected chart. To change the instrument on a chart, type the new symbol into the Quick Search box on the left side of the tool bar and press the Enter key.
The following two screen shots illustrate the usage of the Lock Studies feature
3.25 Lock Scroll Lock scroll is a convenient way to maintain the same position across multiple charts when using the scrolling feature to move forward or backward on the historical price axis. Choose View - Lock Studies (from the top menu bar) or use the button available on the tool bar to enable this feature.