# Traders' Tips from TASC Magazine

### Finding Key Reversals

Below are the MetaStock formulas introduced in the article "Finding Key Reversals", by Massimiliano Scorpio.

To identify the pattern, use the following formula in either the Expert Advisor as a symbol/alert, in the Explorer as an exploration filter, or in the Indicator Builder as a new indicator:

L < Ref(L,-1) AND C>Ref(C,-1) AND C < H

For the system create a new system in the System Tester using the following formulas:

Enter Long:

L < Ref(L,-1) AND C>Ref(C,-1) AND C < H
Close Long:

H >=Ref(H,-1)

STOPS

Maximum Loss:LONG ONLY

2.0 Percent

To search a group of securities/markets for how often the pattern occurs and how profitable it is use the Explorer to create a new exploration using the following formulas:

COLUMN FORMULAS

ColumnA:# pat

pat:=L < Ref(L,-1) AND C>Ref(C,-1) AND C < H;

Cum(pat)
ColumnB:# bars

Cum(1)
ColumnC:% pat

pat:=L < Ref(L,-1) AND C>Ref(C,-1) AND C < H;

PREC((Cum(pat)/Cum(1))*100,2)
ColumnD:# wins

pat:=L < Ref(L,-1) AND C>Ref(C,-1) AND C < H;

Cum(Ref(pat,-1) AND H >= Ref(H,-1))
ColumnE:% wins

pat:=L < Ref(L,-1) AND C>Ref(C,-1) AND C < H;

PREC((Cum(Ref(pat,-1) AND H >= Ref(H,-1))/Cum(pat))*100,2)