Customization is key for serious traders looking to gain an edge in today’s competitive markets. Trade Ideas software offers a powerful yet often overlooked feature that allows users to create highly specialized scanning filters: the Formula Editor. This comprehensive guide will walk you through everything you need to know about using Formula Editor to develop custom filters that match your unique trading strategy.

What Is the Trade Ideas Formula Editor?

The Formula Editor is an advanced feature that allows users to reference shortcodes within the Trade Ideas system and combine them using C operators to create customized filters. These custom filters can help identify specific market conditions or stock behaviors that aren’t covered by the platform’s pre-built scanning options.

What the Formula Editor Can Do:

• Reference existing Trade Ideas filter codes
• Combine multiple filters using C operators
• Create up to 100 custom filters (designated U0-U99)
• Access data points not available in standard TopList filters
• Compare values across different timeframes
• Create ratio-based or percentage-based custom calculations
• Implement boolean expressions (true/false logic)

What the Formula Editor Cannot Do:

• Function as a full code compiler
• Create new technical indicators (e.g., you can’t build an EMA if it doesn’t exist)
• Change periods on existing indicators (the RSI is fixed at 14 periods)
• Convert timeframes (e.g., changing 1-minute volume to 30-second volume)
• Create alert conditions (it only works with filters)

Where to Find the Formula Editor

The Formula Editor can be accessed in two ways:

1. Within the Trade Ideas software:
   • Navigate to the “Tools” menu
   • Select “Formula Editor”
   • Note: If you don’t see this option, you may be using an older version of the software
2. Through the Trade Ideas web interface:
   • Log into your Trade Ideas account
   • Go to Account Management
   • Navigate to the Custom Formula section

Essential Resources for Formula Editor Users

Before creating your first custom formula, familiarize yourself with these key resources:

Help PDF Document

The Help PDF provides comprehensive documentation, including:

• Overview of the custom formula system
• Table of contents for easy navigation
• Explanation of the U0-U99 designation system
• Description of available units and sources
• Information on formatting options and graphics
• List of C operators for combining codes
• Non-filter data points that can be referenced
• Example formulas for common scenarios

Filter Codes Reference

This document lists every available filter in Trade Ideas with:

• The corresponding shortcode
• The units used by each filter
• The display name of the filter
• The icon representation

These resources are accessible both through the Formula Editor interface and the Account Management section of the Trade Ideas website.

Creating Your First Custom Formula

Let’s walk through the process of creating a basic custom formula that compares volume in different timeframes:

Step 1: Access the Formula Editor

Open the Formula Editor through the Tools menu or Account Management as described above.

Step 2: Select an Unused U Designation

Choose from any available slot between U0 and U99 that isn’t currently in use.

Step 3: Define Your Formula Parameters

For our example, we’ll create a formula that compares the most recent 1-minute volume to the previous 4 minutes of volume:

1. Formula code: vol_1 / (vol_5 – vol_1)
   • This calculates the ratio between the current 1-minute volume and the previous 4 minutes
   • vol_1 represents the rolling 1-minute volume
   • vol_5 represents the rolling 5-minute volume
2. Formula name: “Compare Last Minute to Last Four Minutes”
3. Units: Ratio
4. Decimal points: 2 (for readability)
5. Graphics: None (optional)

Step 4: Validate and Save Your Formula

The Formula Editor will indicate whether your formula is valid for Alert Windows, TopList Windows, or both. Click “Save” to store your custom formula.

Using Your Custom Formulas in Scans

Once created, your custom formulas can be used just like any other filter in Trade Ideas:

1. Open a TopList or Alert Window
2. Go to the search field in the Configure window
3. Custom formulas appear at the bottom of the filter list
4. You can also type the name of your custom formula in the search bar
5. Add your custom formula as a filter or column, just like standard filters

Advanced Formula Techniques

Comparing Volume Across Timeframes

While you can’t directly compare price candles across timeframes, you can compare volume. For example:

• Compare 1-minute volume to 5-minute volume
• Calculate what percentage of the day’s volume occurred in the last hour
• Create ratios between different timeframes to identify unusual volume patterns

Using Boolean Expressions

Boolean expressions return either true (1) or false (0) values:

• Create filters that only return stocks meeting specific conditions
• Combine multiple conditions using AND (&&) and OR (||) operators
• Use comparative operators (==, !=, >, <, etc.) to test values
• Set minimum values to 1 to only see stocks returning “true” for your condition

Working with Non-Filter Data Points

The Formula Editor gives you access to data points that aren’t available as standard filters:

• Most recent close (previous day’s close or today’s close)
• Today’s high and low
• Pre-market high and low
• Expected open price
• Day of the week
• And many more

Best Practices and Tips

Keep Your Formulas Organized

• Use clear, descriptive names for your custom formulas
• Document complex formulas with notes outside the system
• Consider using a specific range of U numbers for related formulas (e.g., U10-U19 for volume-related formulas)

Start Simple and Build Complexity

• Begin with basic formulas that accomplish a single purpose
• Test thoroughly before adding complexity
• Use the examples in the Help PDF as starting points

Debugging Your Formulas

• The responsibility for debugging rests with the creator
• Complex formulas with nested if-then statements can be difficult to troubleshoot
• Break complex formulas into smaller components for easier testing
• Compare results against expected outcomes using known stocks

Performance Considerations

• Extremely complex formulas may impact scanning performance
• Consider the tradeoff between formula complexity and speed
• Test performance with different market conditions

Practical Examples

Example 1: Identifying Volume Surges

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vol_1 > vol_5 / 5 * 3

This formula identifies stocks whose current minute’s volume is at least three times the average volume of the last five minutes, potentially indicating a sudden interest in the stock.

Example 2: Finding Stocks Near Daily Highs

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(price – low_d) / (high_d – low_d) > 0.8

This formula returns stocks trading in the upper 20% of their daily range, useful for finding stocks with sustained upward momentum.

Example 3: Creating a Custom RSI Comparison

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rsi_5 > rsi_15

While you can’t change the period of the RSI, you can compare RSI values across different timeframes to identify changing momentum.

Conclusion

The Trade Ideas Formula Editor provides a powerful way to customize your trading approach by creating specialized filters tailored to your strategy. While it requires some learning and experimentation, the ability to craft unique scanning criteria can give you a significant advantage in identifying trading opportunities that most traders might miss.

By leveraging Formula Editor’s capabilities, you can transform Trade Ideas from a powerful scanning platform into a highly personalized trading system that aligns perfectly with your specific trading methodology. Whether you’re looking to refine existing strategies or develop entirely new approaches, the Formula Editor offers the flexibility to implement your trading vision.

For additional support with the Formula Editor, Trade Ideas offers daily live Q&A sessions at noon Eastern and maintains a live trading room from 9:30 AM to 3:00 PM Eastern on market days. You can also reach out with specific questions at info@trade-ideas.com.