Installing and configuring – JPYX indicator

jpyx

General – getting started

If the US dollar is the primary currency to consider in any analysis of the forex market, the secondary one is the Japanese yen, and yet there are almost no indices which track this in a similar way. But once again, we have the answer and have therefore developed the JPYX index for the MT4 platform. This is based on the FXCM/Dow Jones index, and takes four major currencies, with an equal weighting to deliver the JPYX index as follows:

  • Australian dollar (AUD) – 25%
  • New Zealand dollar (NZD) – 25%
  • Euro (EUR) – 25%
  • US dollar (USD) – 25%

Once again, the index is based on a notional 10,000 mini lot contract size. It is our belief that this simple index provides a ‘real world’ view of strength and weakness in the Japanese yen which is equally important in terms of risk analysis. Whilst the US dollar has increasingly been adopted to fund the carry trade, the Japanese yen remains the key currency in this respect, and with flows into and out off risk assets remaining pivotal for the currency, having an index to track it’s performance against other key currencies is crucial.

Like the QuantumUSDX indicator and the Quantum DXY indicator, the Quantum JPYX indicator can be used in one of three ways:

  • First, as an inverse indicator to a major currency pair, helping you get in, stay in and get out
  • Second, as a confirming indicator for the Quantum Currency Strength indicator, providing a perspective against other currencies
  • Finally, as the ultimate barometer of risk

Whichever approach you adopt, you will no longer have to leave your MT4 platform for a view of the Japanese yen! In addition, the indicator is also supplied with two moving averages already applied, the 8 SMA and the 14 SMA to help provide you with further insights into market direction.

The Quantum JPYX indicator works in all timeframes

Installation

Open your MT4 platform and in the top level navigation:

  • Left click >View

This will open the following window:

View - window
  • Left click > Navigator

This will open the following window:

Custom indicators
  • Left click > + icon alongside Custom Indicators

This will open the following window:

  • Left click and HOLD – drag the Quantum JPYX indicator to a chart, and RELEASE

This will then display the following window. This is where you can configure all the various user settings for your USDX indicator. To move from one tab to another simply left click on the grey tab to select the appropriate window.

Common Tab

The Common tab displays two boxes. Both of these should be checked as shown. This ensures that you have enabled the DLL imports as explained in the installation instructions.

JPYX - common

Inputs Tab

There are several variables than can be changed, and these are as follows:

Look back

This is the number of bars the indicator processes. It determines the number of bars the indicator generates for the index. It is set to 200 bars by default.

MA1 Period

This is the first Simple Moving Average with a default setting of 14. The Value can be changed as follows:

  • Double left click alongside this Variable in the Value field
  • The Value field will change to white – enter a number such as 26 to change to a slower period

MA2 Period

This is the second Simple Moving Average with a default setting of 8. The Value can be changed as follows:

  • Double left click alongside this Variable in the Value field
  • The Value field will change to white – enter a number such as 5 to change to a faster or slower period

Line chart mode

If this setting is set to true, the indicator becomes a line chart as opposed to its default mode which is a candlestick chart.

Line chart price type

If the indicator is set to line chart mode (Line chart mode = true), this setting determines which price type is used in its calculation. It can be one of the following:

  • OPEN_PRICE
  • HIGH_PRICE
  • LOW_PRICE
  • CLOSE_PRICE

Color inputs

  • Bullish candle color
  • Bearish candle color

You can customize the color of the candlesticks by changing these settings.

To change the color:

  • Double left click in the Value field
  • Select the color from the drop down menu by clicking on the drop down arrow to display the menu of colors
  • Left click OK to confirm

This will then activate the color for the candlestick.

Currency Prefix

This is the variable field that you will need to update, if your FX broker delivers your currency pairs with a prefix. As an example this might be a.EUR/USD, in which case you would need to enter the value a. in the currencyPrefix field. If your currency pairs are delivered with a prefix, then you MUST enter this in this field, otherwise your indicator will not work. 

To change the setting:

  • Double left click in the Value field, and the field will turn white with your cursor flashing. Enter a new value
  • Click return to save any changes

Currency Suffix

This is the variable field that you will need to update, if your FX broker delivers your currency pairs with a suffix. As an example this might be EUR/USDm, in which case you would need to enter the value m in the currencySuffix field. If your currency pairs are delivered with a suffix, then you MUST enter this in this field, otherwise your indicator will not work. 

To change the setting:

  • Double left click in the Value field, and the field will turn white with your cursor flashing. Enter a new value
  • Click return to save any changes

Colors Tab

The default colors and settings are as follows:

  • Index line (in Line chart mode) – Red- Width 3 (the Style is fixed)
  • SMA 1- DodgerBlue – Width 1. – Style 1. Long dash
  • SMA 2- Magenta – Width 1. – Style 3. Long/short dash

Please disregard the first two color inputs. (0 and 1)

To change the color:

  • Double left click alongside the item you wish to change in the Color field
  • Left click on the drop down arrow and a color menu will appear
  • Select your preferred color which will then appear as your selection

To change the width:

  • Double left click alongside the item you wish to change in the Width field
  • Left click on the drop down arrow and then select your preferred width of line from the drop down menu (1 is the narrowest, 5 is the widest) – this will then change the thickness of the line

To change the style:

  • Double left click alongside the one you wish to change in the Style field
  • Left click on the drop down arrow and a menu will appear with the various styles
  • Select your preferred style

Levels Tab

There are no user inputs for the indicator.

Visualization Tab

JPYX - visualization

These are the default settings for MT4. There are no user inputs for the indicator.

When you are happy with all your changes…

  • Left click the OK button at the bottom of the window, and your QuantumJPYX indicator will be applied to your chart

At this point your JPYX indicator will look something like this:

jpyx2

 

Finally, to remove the indicator from your chart:

  • Right click on the chart and the following pop up window will appear:
Delete indicators list
  • Left click on Indicators List from the above menu and the following menu will appear:
JPYX - delete
  • Left click the indicator, and then left click the Delete button on the right