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Programming Examples

A parallel function is one which is written to mimic the base system in every respect. At first this might seem simple, as one could simply copy the entire system code and save it as a function. However, system functions such as buy, sell, exitlong, exitshort, marketposition, positionprofit, are not available for use in functions. You must therefore write your function to perform as a system without the use of these extremely useful commands.

To clarify and illustrate the usefulness of this technique let's develop a simple breakout system and the apply the parallel function to the system.

Our system will involve the simple breakout of a range at a given time early in the trading day. We'll keep track of the high and low of the day and at a given, input selectable time, we'll place a breakout buy above the range of the day and a breakout sell below the established range. We'll then take profit at a user selectable target and set our stop loss, again with a user selectable value.

Base System

Here's the EasyLanguage code for our system. I'll explain what each section and then compare the system code with that required for the parallel function.

Inputs:   Delay(45), Tgt(7), Stp(4);

Vars:   NuHi(0), NuLo(0), Bpt(0), Spt(0);

If D<>D[1] then begin

    NuHi = H;

    NuLo = L;

    Bpt = 9999999;

    Spt = 0;

end;

If H>NuHi then NuHi = H;

If Lthen NuLo = L;

If T = CalcTime(Sess1StartTime,Delay)   then begin

    Bpt = NuHi +.1;

    Spt = NuLo - .1;

end;

If   TradesToday(d) = 0   then begin;

    BUY Bpt stop;

   

    SELL Spt stop;

end;

If MarketPosition = 1 then begin

    Exitlong("L_ TGT") entryprice + tgt limit;

    ExitLong("L_Stp") entryprice - Stp stop;

end;

If MarketPosition = -1 then begin

    ExitShort("S_Tgt") entryprice - tgt limit;

    ExitShort("S_Stp") entryprice + stp stop;

end;

System Code Explanation

The first lines are the input and variable declarations.

"Delay" refers to the number of minutes after the open of the market that the range determination will be made. In this example, the input is defaulted to 30, meaning the system will buy or sell the range established 30 minutes after the open of the market. "Tgt" is the objective of the trade, or "target" price, expressed in points. In this example the target is two points in the S&P, or $500.00.   "Stp" is the value of the stop loss for the system, in this example, four S&P points.  

The variables NuHi and NuLo will track the expanding high and low for the day. The Bpt and Spt variables will store the calculated buy and sell points for the system.

Inputs:   Delay(30), Tgt(2), Stp(4);

Vars:   NuHi(0), NuLo(0), Bpt(0), Spt(0);

Resets. The NuHi and NuLo variables, which progressively record the high and low for the day as the range expands, are reset to the   high and low of the first bar of the day. The buy point (Bpt) and sell point (Spt)   are reset outside the range of the market to prevent premature buy and sell signals.

If D<>D[1] then begin

    NuHi = H;

    NuLo = L;

    Bpt = 9999999;

    Spt = 0;

end;

These two lines record the high and low for the day as the range expands and stores them in the NuHi and NuLo variables.

If H>NuHi then NuHi = H;

If Lthen NuLo = L;

This bracket uses the CalcTime function set the breakout time for the system using the Delay input. The buy point and sell point are set to the high and low for the day at that time, plus or minus 1 tick, respectively.

If T = CalcTime(Sess1StartTime,Delay)   then begin

    Bpt = NuHi;

    Spt = NuLo;

end;

This is the area of the code which executes the buy and sell orders for the system, taking only one trade per day. The systems issues orders to buy one tick above the high or sell one tick below the low of the day.

 If   TradesToday(d) = 0   then begin;

    BUY Bpt   stop;

   

    SELL Spt stop;

end;

These next two brackets are the exit routines for the system.   In the first bracket, the system exits a long position at the entry price plus the target input in the case of a profitable trade or will exit at the entryprice - the stop input in the case of a stopped out position.

The second bracket exits the short positions in a similar manner, with profit being taken at the entry price minus the target price and the system suffering a stopped out loss at the entryprice plus the stop price.

If MarketPosition = 1 then begin

    Exitlong("L_ TGT") entryprice + tgt limit;

    ExitLong("L_Stp") entryprice - Stp stop;

end;

If MarketPosition = -1 then begin

    ExitShort("S_Tgt") entryprice - tgt limit;

    ExitShort("S_Stp") entryprice + stp stop;

end;