Forex trading is a popular way to make money on the internet. However, it can be challenging to know how to code a zigzag forex strategy. Zigzag is a technical indicator that helps traders identify trend changes. It is a popular indicator among traders because of its simplicity and effectiveness. In this article, we will explain how to code a zigzag forex strategy step-by-step.
Step 1: Create a New MQL4 Program
The first step is to create a new MQL4 program. MQL4 is a programming language used to code forex strategies. You can use any text editor to write the code, but it is recommended to use MetaEditor, which is a built-in editor in the MetaTrader 4 (MT4) platform. To create a new MQL4 program, click on “File” and then “New” in the MetaEditor.
Step 2: Define the Input Parameters
The next step is to define the input parameters. Input parameters are variables that allow traders to change the settings of the zigzag indicator. They can be adjusted based on the trader’s preferences and the market conditions. The input parameters for a zigzag forex strategy usually include the depth, deviation, and backstep. The depth is the minimum number of bars required to form a swing high or low. The deviation is the percentage by which the price must move before a new swing high or low is formed. The backstep is the number of bars that must pass before a new swing high or low can be formed.
To define the input parameters, use the following code:
“`
extern int depth = 12;
extern double deviation = 5;
extern int backstep = 3;
“`
Step 3: Define the Variables
The next step is to define the variables. Variables are used to store data that is used in the program. In a zigzag forex strategy, the variables used are usually the high, low, and last. The high variable stores the highest price of a swing high, the low variable stores the lowest price of a swing low, and the last variable stores the last price.
To define the variables, use the following code:
“`
double high, low, last;
“`
Step 4: Define the Zigzag Function
The next step is to define the zigzag function. The zigzag function is the heart of the zigzag forex strategy. It calculates the swing highs and lows and plots them on the chart. The zigzag function is usually divided into two parts: one to calculate the swing highs and another to calculate the swing lows.
To define the zigzag function, use the following code:
“`
void ZigZag()
{
int limit = Bars – depth – backstep;
for(int i = limit; i >= 0; i–)
{
high = High[iHighest(NULL, 0, MODE_HIGH, depth, i)];
low = Low[iLowest(NULL, 0, MODE_LOW, depth, i)];
if(MathAbs(high – last) > deviation * Point)
{
ObjectCreate(“ZigZagHigh” + i, OBJ_ARROW, 0, Time[i], high);
ObjectSet(“ZigZagHigh” + i, OBJPROP_ARROWCODE, SYMBOL_ARROWUP);
last = high;
}
if(MathAbs(low – last) > deviation * Point)
{
ObjectCreate(“ZigZagLow” + i, OBJ_ARROW, 0, Time[i], low);
ObjectSet(“ZigZagLow” + i, OBJPROP_ARROWCODE, SYMBOL_ARROWDOWN);
last = low;
}
}
}
“`
Step 5: Define the OnInit Function
The next step is to define the OnInit function. The OnInit function is called when the program is loaded. In this function, you need to call the zigzag function and set the input parameters.
To define the OnInit function, use the following code:
“`
int OnInit()
{
ZigZag();
IndicatorSetInteger(INDICATOR_DIGITS, MarketInfo(Symbol(), MODE_DIGITS));
return(INIT_SUCCEEDED);
}
“`
Step 6: Compile and Test the Program
The last step is to compile and test the program. To compile the program, click on “Compile” in the MetaEditor. If there are no errors, the program will be compiled successfully. To test the program, attach it to a chart in the MT4 platform. The zigzag indicator will be plotted on the chart based on the input parameters.
Conclusion
In conclusion, coding a zigzag forex strategy is not difficult if you follow the steps outlined in this article. The zigzag indicator is a simple yet effective way to identify trend changes in the forex market. By using the zigzag forex strategy, traders can improve their trading performance and increase their profits.
