In the first step, it evaluates through all the open positions. For each open position, the long component of the instrument’s volume is multiplied by its opening price and added to the specific currency pair. Similarly, the short component of the instrument’s volume is multiplied by its opening price and subtracted from the specific currency pair.
The indicator provides the net cumulative position for each currency, thereby giving the user a holistic view of his/her positions. The user can identify the bias of the current account. For example, if the net cumulative position of EUR is positive, and of GBP and USD is negative, it implies that the user is bullish on EUR and bearish on GBP and USD. Therefore a bearish movement in EUR, or a bullish movement in GBP or USD is detrimental to the user’s account. Using this CheckArbitrage indicator, the user can protect the account accordingly.
Please Make a Note This indicator script does not open or close orders. This indicator tracks pairs of the following currencies – AUD, CAD, CHF, CZK, DKK, EUR, GBP, HKD, JPY, MXN, NOK, NZD, PLN, RUR, SEK, TRY, USD and ZAR.