Renkomaker pro has been marketed as an easy trading system designed to work with Renko charts. The developers behind the Renkomaker pro trading strategy claim this to be a new profitable, easy, simple and a clean trading system that can be used with Renko charts.
More importantly, Renkomaker pro also claims to have no complicated rules when it comes to applying this easy trading strategy to Renko charts. But is this really true and does Renkomaker pro really stands for what it claims? The charts certainly entice you into believing that trading with Renkomaker pro is as simple as going long or short when just two simple conditions are met.
In this review of Renkomaker pro I take a detailed look at the trading system in question and put it to the test. If you are interested in using an easy trading strategy for renko charts, then read this review of Renkomaker pro to get a better idea of this simple and clean trading strategy.
Taking a look at the Renkomaker pro website, the developers seem to have offered charts that shows trading signals which look too good to be true. In fact, in some of the images, the Renkomaker pro’s trading charts claim to make 1975, or 608 pips in general. This fact, if true could mean lot of profits for traders who make use of this simple trading strategy.
The first thing you need to use the Renkomaker pro trading system is of course the Renko charts. You can click here to download the Renko EA to generate offline Renko charts on the MT4 trading platform.
Renkomaker Pro Trading System at a glance
The Renkomaker pro trading system gives you four indicators that you need to use. These are:
- MTF_Trendbar indicator
- Signal indicator
- RenkoMaker_Confirm Indicator
- 2 expert
Of these four, the RenkoLiveChart_V3.2 expert can be found easily, you can download it from here and also learn how to use the RenkoLiveChart_v3.2 expert advisor. This leaves us with the three other indicators.
The MTF Trendbar indicator, which is nothing but the trend indicator sits on the top right corner of your screen. It shows the trends across the different time frames on the chart. You might wonder why make use of a multi time frame trend indicator, when you are using Renko charts.
Well, to be honest, it doesn’t add much value because with the Renko charts that you have, it should be easy for the trader to ascertain the trend themselves. Still, having the indicator on can be a good way to look at the overall trend in the markets.
As shown in the above chart, the remaining two indicators are the signal indicator which is plotted above and below the Renko bricks while the Renko confirm indicator is plotted in the sub-window and is used as a confirmation of the trade signals.
It looks quite straightforward so far.
How to trade with Renkomaker pro trading system?
The trading system does stand true to its claims as the strategy is very simple to use.
Firstly, you also get a template .tpl file which can be used on your Renko chart. It loads all the remaining three indicators and you are good to go.
Renkomaker Pro – Buy Signal
- The Renko signal indicator should be green and plotted below the Renko bricks
- The Renko confirm indicator should give you an alert to ‘Buy’ by turning green and moving above the zero-line. Usually you can also see the buy arrow being plotted on the sub-window and you also get a pop up signal as well.
Renkomaker Pro – Sell Signal
- The Renko signal indicator should be red and plotted above the Renko bricks
- The Renko confirm indicator should give you an alert to ‘Sell’ by turning red and moving below the zero-line. You can also see a sell arrow being plotted on the sub-window and you get a pop up alert as well.
Stop loss and take profits
- The Renkomaker pro trading system is easy and keeps it open in terms of placing your stops and take profit levels
- Looking at the chart, you can place your stops at the nearest swing high or swing low points on the chart before the signal was triggered
- You can leave the trade open until the Signal indicator switches color (Red -> Green in case of sell) or (Green -> Red in case of a buy)
The chart below shows an example of a buy and sell signal using the Renkomaker pro trading system.
So far the system looks good. But what happens when you start trading?
One of the biggest factors is that the Signal Indicator is a repainting indicator. While there is nothing wrong in using a repainting indicator, it does make the rules of the trading system redundant. For example, if you had a near perfect buy signal, but then price falls and the signal indicator moves in the opposite direction, you would be left with a trade that is moving against you. Not quite what you expected it to be.
The fact that this issue has been missed on the Renkomaker Pro website is something of a concern. The following charts shows how badly the repainting issue can hurt when trading with the Renkomaker pro in the markets.
In this first chart, we can see that there is a buy signal, marked by the Renko confirm indicator plotting an up arrow and the Renko signal indicator is plotting green. So a long position was taken with stops at the recent swing low. A couple of bars later, here is how the Renkomaker pro adjusted its signals.
The long position was stopped out and the Renko signal indicator turned to red, while the Renko confirm indicator had given another buy signals.
And the final chart, where you can see how the Renkomaker signal indicator repaints the green and red levels.
What you see here is that in hindsight the Renkomaker pro trading system looks to point out to the perfect looking trading signals, but as price action continues to evolve, traders are very likely to be prone to potential losses.
In conclusion, Renkomaker pro merely markets itself as an easy trading system, but the repainting issue makes the trader vulnerable to losses.
Have you been trading with Renkomaker Pro? Leave your feedback and opinions in the comments.