- March 30, 2023
- Posted by: Forex Wiki Team
- Category: Forex Trading System
Cluster Analysis Trading Strategy Review
The Cluster Analysis Trading strategy harnesses the power of price movement patterns and a proprietary set of indicators developed by our team of experts. This innovative system is both versatile and user-friendly, making it ideal for traders seeking to profit from a variety of markets including Forex, NASDAQ, SP500, commodities such as Oil and Gold, and even cryptocurrencies, all on the minute and hourly charts.
Broker Requirement :
The Cluster Analysis Trading Strategy works with any broker and any type of account, but we recommend our clients use one of the top forex brokers listed below:
Cluster Analysis Trading Settings
The System Indicators utilized in this strategy are entirely original and free from any plagiarism concerns. It is essential to note that a previous version of this modified strategy was reviewed under a different name by a disreputable seller. However, in this version, the focus is on the original system and its unique indicators.
While it may appear that this system relies on multiple indicators, all the readings generated on the chart are sourced from one singular indicator. The settings for this indicator mainly pertain to its visual display and alerts which can be toggled on or off. This feature contributes to the simplicity and ease-of-use of the system, allowing traders to quickly and efficiently analyze market data.
- Unique Magic Number of indicator = 1
- Alert about getting the rights = false
- Flat zone color = Yellow
- Bullish histogram color = SpringGreen
- Bearish histogram color = Red
Capter_1 = MTT
- Enable MTT? = true
- Filter trends? = false
- Notify about a trend change? = true
Capter_2 = TC
- Turn on TC? = true
- Notify about a signal? = true
- Draw SL? = true
- Text labels on the chart? = true
- Arrow size = 3
- Up arrow color = SpringGreen
- Down arrow color = Red
- Text color near up arrow = Black
- Text color near down arrow = Black
- Text size = 7
- Text indent in pips = 1
Capter_3 = TC Correction
- Turn on TCC? = true
- Apply settings of the 2nd group? = true
- Alert about the signal? = true
- Draw SL? = false
- Text labels on the chart? = true
- Arrow size = 3
- Up arrow color = SpringGreen
- Down arrow color = Red
- Text color near up arrow = Black
- Text color near down arrow = Black
- Text size = 7
- Text indent in pips = 1
Capter_4 = RPI
- Turn on RPI? = true
- True - levels are like zones. False - like lines = true
- Paint over zones? = false
- Default levels thickness = 4
- Support levels default color = Blue
- Resistance levels default color = Red
Period 1 = 1 Day
- Draw levels? = true
- Level thickness = 4
- Support levels color = DodgerBlue
- Resistance levels color = Tomato
Similarly for Period 2 = 1 Day; Period 3 = 1 Month; Period 2 = 4 Hours.
Cluster Analysis Trading Strategy
To ensure maximum flexibility and customization options, the Cluster Analysis Trading strategy allows traders to adjust the colors of levels, arrows, and text according to their preferences. However, for those who prefer not to customize their chart and indicator, a template can be downloaded at the end of the article.
Despite utilizing only one indicator, the Cluster Analysis Trading strategy is subdivided into components or "indicators embedded in the main indicator," each performing a specific function:
Momentum Trend Trader (MTT) - located in the lower histogram, this component determines market phases and displays which trend is currently prevailing in the market.
Reverse Point Indicator (RPI) - this component indicates non-redrawing levels on the chart and functions seamlessly across timeframes ranging from M1 (1 minute) to W1 (1 week).
Trend Change Correction (TCC) - marked by an arrow and the text TCC, this signal indicator identifies entry points for correction, making it ideal for trading both with and against the current trend.
Trend Change (TC) - marked by an arrow and the text TC, this signal indicator identifies key points for opening a deal on a trend or during a reversal. These indicators offer traders unparalleled precision and accuracy in their trading strategies.
The trading rules for the Cluster Analysis Trading strategy are straightforward and rely on a signal consensus from all indicators. To open a BUY position, traders should look for the following signals:
Trading Rules
- The MTT indicator may or may not be green, indicating an uptrend
- The level that the price approaches must be blue, indicating a Support Level
- A green arrow with the text "TC Buy" must appear
To open a SELL position, traders should look for the following signals:
- The MTT indicator may or may not be red, indicating a downtrend
- The level that the price approaches must be red, indicating a Resistance Level
- A red arrow with the text "TC Sell" should appear.
By adhering to these rules, traders can optimize their trading strategies and make informed decisions when opening positions. It is important to note that this system offers traders unparalleled accuracy and precision in their trading decisions.
Examples of signals
In addition to the main trading rules, the Cluster Analysis Trading strategy offers simple trading recommendations that can help traders optimize their trading strategies further. These recommendations include:
- If the MTT indicator turns yellow, the market is experiencing a flat trend, and traders can only trade from the levels. It is recommended to trade from the strongest levels that have not yet been broken through.
- When trading against the trend, it is not necessary to trade from the level, but the TCC indicator's arrow on the correction is an indispensable condition.
- Scalping transactions are allowed, although they carry an increased risk. It is possible to make transactions using this approach, but traders should understand that the strategy is primarily designed to trade on the trend, and the probability of losses is quite high. It is highly recommended not to trade this way.
By following these trading recommendations, traders can maximize their profits while minimizing their risks. It is important to note that the Cluster Analysis Trading strategy offers an excellent balance between simplicity and accuracy, making it a popular choice among traders.
Cluster Analysis Trading strategy Free Download
We highly recommend trying the Cluster Analysis Trading strategywith ICMarket demo account. Also, familiarize yourself with and understand how this system works before using it on a live account.
Cluster Analysis Trading Strategy
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