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Counting your setup with a script**

Let’s say that you want to identify every time that your conditions are met. And you want to be able to quickly identify them so you can test certain situations. I am going to explain how you can do that. For this post I will count all the times that the 5 SMA crosses up the 20 SMA and the 200 SMA is above both of them. I'll count them on the 1 hour 30 day chart.
I used the following script:**

if Crossup(SMA[0](Close, 5),SMA[0](Close, 20)) and
High[0] < SMA[0](Close, 200) then
addbuyentry
endif

if isbuyposition then
addbuyexit AT High[0]
endif
These are the results.**

Now if you wanted to back test but you didn’t want those annoying buy signals all over the place you can make a simple change to the script and just change the bar color to purple. See this blog entry for the script.**

This will be helpfull when looking at the bigger picture, and when you're beginning to develop your trading plan. In this case I was able to quickly find that of the thirteen signals that led to gains to the 200 SMA line, only one of them that have a Range from high to low less than 35 points led to a profitable trade. All the other profitable trades had a high to low range greater than 35 points. Only two trades that had a high low range over 35 failed and one of those had a less than 35 range bar after it.
Taking only a trade that has the cross over with a bar greater than 40 points, would have produced 323 points and been 75% accurate. Not bad for a little work, and that is precisely what most folks aren’t willing to do.**
I hope you can see the value in this type of testing and mining!