So much for me saying, in my previous blog post, that "automated trading would be my focus for this year". Sometimes, when a trader-friend asks if I know of a tool that does something good, I have to drop everything to write one; and so was the case when Brett asked me about a Fibonacci Cluster indicator.
Fibonacci clusters do an excellent job of acting as support & resistance, They also work very well as price magnets. The best thing about them: they can be drawn a long-time in advance, providing trading reference points for an entire week, or more, if required.
The big problem though, is that they can take a long time to draw manually and leave one hell of a mess on the charts.
The Snorm Fibo Clusters indi draws the cluster levels for you - you just need to connect two significant swing points. There are (one-click button) options for the types of Fibonacci levels: retracements, expansions and internal swing extensions. You can adjust the reference swing points, the variable that defines what levels are 'close' and the value of the Fibonacci levels. Getting cluster levels could not be easier.
This will only be available to traders with a current eWavesHarmonics licence, as an optional add-on (for a very reasonable price, of course). The indi is currently being tested by the FOR-EXE team and, if all goes well, should be available in the next week or two.
Here's a little promo' video for it ...
As for the EA that started so well in December ... well, it's having a tiny draw-down at the moment. I'll get back to that as soon as I can. I've got a feeling that the Fibo Clusters might help to reduce the drawn-down ... fingers crossed.