Introduction, Setup, & More

BlackBird is a NinjaTrader Strategy, which significantly extends the functionality of NinjaTrader's Chart Trader, ATM, and much more. It serves both discretionary traders and automation traders.

For the discretionary trader, risk and money management rules can be defined to assist the trader from violating their daily trading limits and risks, and that's just the beginning. The trade designer aspect gives the trader unprecedented control of every order type. The ability to automatically manage the entry, profit target and stop-loss. And of course, manual movement of the orders can be made at any time.

For the automated trader, BlackBird can automatically enter a trade using your favorite signal generating indicator or BloodHound signal, and then manage all order types, as mentioned before, for a fully automated trading system. BlackBird can even use BloodHound signals to manage your profit and stop-loss orders to build a truly advanced automated trading system.

Running BlackBird: BlackBird is a strategy, and NinjaTrader gives you the option to run strategies on a chart (which is what we show in our videos) or they can be run on the Strategies tab in the NinjaTrader Control Center. For more information on how to initiate a Strategy see NinjaTrader’s documentation here.
Both methods are identical in terms of setting up BlackBird. Below we will cover the more common way of running a Strategy by adding BlackBird to a chart.
Special Notes from NinjaTrader when running a strategy: Strategy Position vs. Account Position

Adding BlackBird to a Chart

Begin by opening a chart in NinjaTrader. Do Not add BlackBird to a chart with tabs. Currently, BlackBird is not enabled to work with tabs.
To add BlackBird, right-click on the chart and select “Strategies…”, followed by opening the SharkIndicators folder and selecting BlackBird. On the right hand side you will see the Properties list for BlackBird. If Strategies… is grey & disabled see NinjaTrader’s documentation here to enable it.
Scroll to the top of the Properties list and adjust any options as needed. See below for a description of each properties. Lastly, check the Enabled box before clicking the OK button.
Once BlackBird is loaded on the chart, click the Order Setting button (bottom right) to start setting up BlackBird.
NOTE: An Order Set must be defined before the Trade Control buttons can be used, and before BlackBird can do anything.

Using BloodHound Signals Tip:
If you are using BloodHound signals in BlackBird it is not necessary to have BloodHound on the chart, because BlackBird will add the BloodHound running within BlackBird to the chart by default. It is suggested that only one BloodHound be running on the chart to save CPU resources.

Starting & Ending BlackBird

There are several NinjaTrader setting that affect order handling when a strategy (BlackBird) is enabled or disabled by any means. The NinjaTrader 8 settings are found in Control Center » Tools » Options » Strategies » 'Ninja Script' and 'On connection loss' sections, and in the Strategies window » Properties section. It is very critical that you fully understand these NinjaTrader settings.
When enabling BlackBird, and having Strategies window » Properties » Setup » Start behavior set to ‘Immediately submit...‘ and BlackBird » Backtest Mode is enabled, NinjaTrader will immediately submit an order in the direction of BlackBird’s last historical trade. Setting BlackBird » Backtest Mode = False will prevent immediate order submission.

What Does A Strategy Actually Do?

There are misconceptions about what a strategy does, in control of, and/or manages. This image will help clarify what the strategy is responsible for vs. what NinjaTrader is responsible for.
Click image to enlarge.

Learning Resources

Getting Started Video

Training Videos Page

Click the link to visit the Training Videos page.

Training Workshop Videos

Each week we host a free live workshop where you can ask questions and see things demonstrated in BlackBird. Find the schedule and list of recordings on the Training Workshops page.

List of BlackBird workshop videos

BlackBird Settings Window

For more information on using the BlackBird interface click the image below.

Chart Panels

For more information on using the Chart Panels click the image below.

Tip: Find more documentation for BlackBird in the left side menu. Under the heading "BlackBird" near the top.

Strategy window » Properties

These are the settings listed in the right side of the NinjaTrader Strategies window. The top two section are BlackBird properties. All the rest of the properties and settings are added by the NinjaTrader platform. Scroll down to see the NinjaTrader properties.

BlackBird Properties

Strategy Template

BlackBird Settings

Options

Backtest Mode

This option enables communication with NinjaTrader when processing historical chart data/bars, so that NinjaTrader can calculate the backtest results. Backtest results are NOT calculated by BlackBird (and probably not what you think), thus we recommend reviewing the section Calculating Backtest Results (listed farther down) for more information on the process.

Unchecked/Disabled: Backtesting is turned off. i.e. BlackBird will not process trade signals and orders on historical chart data, therefore NinjaTrader has no trade data to calculate backtest results from. Having this option disabled help BlackBird load faster and reduces NinjaTrader resource usage, which is why this option is disabled by default.

Tip: NinjaTrader treats their Playback Connection datafeed as live data for the purposes of running strategies and calculating Strategy Performance reports. Thus, this option does not prevent backtest results. Instead, "backtest" results will be listed in Strategy Performance » Real-Time, when using the Playback Connection.

Checked/Enabled: Backtest results will be calculated by NinjaTrader, which in turn allows Strategy Performance reports to be generated by NinjaTrader. i.e. This option instructs BlackBird to process trade signals and order on historical chart data.
For NT 7 Only: The ‘Start Auto Enabled On’ must be True, or ‘Show Chart Trader’ must be False to use this option.
For NT 8: The ‘Start Auto Enabled On’ setting has no effect on backtesting.

Please note:
1) BlackBird must have the Trade Signals section setup. Only a fully automated trading strategy can produce backtest results.
2) When enabled, historical signals can generate entry orders that will become realtime orders if the historical order is not canceled or filled during the historical data processing. See image.

Start Auto Trading On

This sets the default state (On or Off) for the Chart Trader » Auto Trading button. Which, determines if BlackBird starts auto trading immediately, on realtime data, or not auto trade. This is important, because anything that cause the chart to Reload (F5) will reset BlackBird and the Auto Trading button back to this default state.

Unchecked/Disabled: The Chart Trader » Auto Trading button is set to Off at start up. This is the default setting, and a safety feature so that BlackBird does not start auto trading when it first starts up. Click the Auto Trading button when you want BlackBird to start auto trading.

Checked/Enabled: The Chart Trader » Auto Trading button is set to On by default at start up. Meaning, BlackBird will start auto trading immediately. This is a convenience if you are fairly often making changes to indicators on the chart, which in turn forces a chart reload, and you do not want to keep turning the Auto Trading button On again and again.
This state only has an effect when BlackBird is setup to auto trade. i.e. BlackBird must have the Trade Signals section setup.
When backtesting on historical data this has no affect.
Tip: When backtesting using the Playback Connection datafeed, enable this option or click the Chart Trader » Auto Trading button to On before playing the Playback Connection.

Show Chart Trader

Checked/Enabled: This is the default setting where the Chart Panels are visible.

Unchecked/Disabled: All of the Chart Panels are removed from the chart for a clean look. It is rare that a trader would want to do this, because obviously all of Chart Panel features and capabilities are inaccessible.
Note: The ‘Start Auto Trading On’ option is forced to enabled while 'Show Chart Trader' is disabled, even though that option is removed from view. This means that BlackBird will start trading immediately, and can Not be disabled since the Chart Trader » Auto Trading button is not visible to click it Off.
Tip: Instead of using this nuclear option, use the Layout button (at top of chart) to remove the Panels you do not want to see on the chart.

Disable Debug Messages

This option is enabled by default to prevent detailed debug information printing to the NinjaScript Output window. Only disable this option when asked to do so by SharkIndicators support.
Disabling this option will print detailed debug information to the NinjaScript Output window, and may impact the performance speed of BlackBird and NinjaTrader. The debug information is only necessary for analysis by SharkIndicators support.

NinjaTrader Added Properties

NinjaTrader has several properties that adjusts the behavior of strategies. These properties are listed below the BlackBird properties, in the Chart » Strategies window. And, within the Control Center » Tools menu » Options window. SharkIndicators does not lock or hard-code any of these properties so the trader can adjust them to suite their own needs.

Setup

All the parameters in the 'Setup' section are added by NinjaTrader, and common to all strategies. A description of each setting can be found in the Understanding strategy properties section of the NinjaTrader Help guide.

Tip: If the Enabled check box is gray/disabled, there are a couple of reasons that will cause this...

You must be connected to a data feed.
You must have an account selected.
- Or, the wrong Sim account is selected after switching the datafeed to the Playback Connection. The Replay101 account must be selected.

NinjaTrader Tip: Calculate Property Inheritance

When using an indicator that requires the Setup » Calculate property to be set to 'On each tick' to run correctly (such as a volume profile or order-flow type of indicator), then NinjaTrader requires the hosting NinjaScript (i.e. BloodHound / BlackBird) Calculate property to also be set to 'On each tick' in order for that guest indicator to run correctly.
In other words, NinjaTrader takes the Calculate setting of the hosting NinjaScript and applies it to all the guest indicators used by the host. This is called property inheritance. NinjaTradere does not permit "mixing & matching" the Calculate property of host and guest indicators.

In this case BlackBird is the hosting NinjaScript, and the order flow indicator is the guest NinjaScript.
Please note, if you are using BloodHound within BlackBird, and BloodHound is using an indicator that requires Calculate be set to 'On each tick', then BlackBird must be set to 'On each tick'.

Historical Fill Process

Order Handling

Order Properties

NinjaTrader Strategy Properties Tip:
NT 8: If you do not fully understand the setting in Strategies window » Properties » Setup » Start behavior, then we suggest selecting ‘Wait until flat’.

Control Center » Options

These properties are in the Control Center » Tools » Options window » Strategies category » Properties list.

NinjaScript section

NinjaScript properties

The properties listed below can only be set in the code. They can not be changed via the Strategies or Options window. SharkIndicators does not set any of these properties. Thus, NinjaTrader applies the default setting to BlackBird and Raven.

IncludeTradeHistoryInBacktest
IsAdoptAccountPositionAware
BlackBird is not capable of this feature yet.

NinjaTrader Options Tip:
NT 8: If you do not fully understand the settings in Control Center » Tools » Options » Strategies (under Categories) » Ninja Script section, then we suggest the following settings;
⇒ ‘Cancel entry orders when a strategy is disabled’ = Checked/enabled.
⇒ ‘Cancel exit orders when a strategy is disabled’ = Unchecked/disabled.

NT 7: If you do not fully understand the setting in Control Center » Options » Strategies tab » NinjaScript tab, then we suggest selecting ‘Wait until flat before executing live’.

Discretionary Trade Management

BlackBird provides complete discretionary control over the Profit Target and Stop Loss placement.

Modifying Order Price: To modify the price of an order, left click with your mouse on the order line or the right section of the label. A ghost order line will appear and display the number of ticks you are away from the market.
When above the ask the label will display a positive value. When below the bid the label will display a negative value. At the Ask or the Bid the label will display @Ask or @Bid. Once you have the order at the price you desire, click again to complete the move. This is a click once and click again method. Do NOT click and drag.

Cancelling an Order: To cancel an order, left click on the red X.

Strategy Analyzer

Using BlackBird in the Strategy Analyzer allows you to run historical analysis on a basket of instruments. Click here for NinjaTrader's Strategy Analyzer Help guide. Due to some unusual behavior of the Strategy Analyzer these simple steps should be followed before running the Strategy Analyzer. Open the NinjaTrader Historical Data manager (found in Control Center » Tools » Historical Data) and download all the historical data you want to backtest against, while the data feed is connected. Then disconnect the data feed before clicking Run Backtest.

Optimization

The Optimization feature is not able to access the dynamic nature and changeable list of indicators being used within BlackBird (and BloodHound). Therefore, it has limited practical value. See the next section for an explanation of the NinjaTrader limitation.

Can Indicator Properties be Exposed to a NinjaTrader Window?
(for Optimization or simple changes to indicator settings)

Currently, NinjaTrader uses a static property grid (seen on the right) for their Indicators window, and all other windows such as the Strategy Analyzer/Optimizer window. This means new indicator setting can not be added on-the-fly which is needed for the dynamic nature of SharkIndicators software that allows indicators to be added and removed on-the-fly. A new indicator version must be created in order for NinjaTrader to add or change the list of Properties. Therefore, the way NinjaTrader is currently designed, BloodHound is not able to expose indicator properties.
e.g. If your system uses the MACD, the Fast , Slow , and Smooth properties need to be listed in the property grid. But, later if you decide to remove the MACD and use the Momentum instead then the Period property needs to be added, while the Fast , Slow , and Smooth properties for the MACD need to be removed from the property grid. Unfortunately, NinjaTrader does not allow that. We hope a solution can be found in the future.

Backtesting Tips & Help

Simulated Orders

Click image to enlarge.

What are those Simulated order flags?. You have probably never seen those simulated flags before when backtesting other strategies. That is because they are only available with SharkIndicators' strategies. They provide a visual reference for what NinjaTrader is doing. When backtesting a strategy, quite often a historical entry is executed, but the exit orders did not get hit before the chart reaches real-time data. That last backtest trade is converted into a simulated real-time trade so that NinjaTrader can finalize the backtest results, using real-time data.
NinjaTrader does not provide visual ques on the chart indicating a backtest trade needs to be finalized, except by carefully reading the last 'Plot executions » Text and markers' on the chart. These simulated order flags do just that.

Calculating Backtest Results

Backtesting is Not performed by the SharkIndicator's strategy (i.e. Raven and BlackBird). Backtesting results are calculated by NinjaTrader's backtesting framework. Regardless of backtesting on the chart or through the Strategy Analyzer, the results are calculated by NinjaTrader. All a strategy does is simple, it tells NinjaTrader when and where to place an order, along with changing an order's price when an order is moved (e.g. a trailing stop-loss).

Click image to enlarge.

Videos on Backtesting

An Overview of Backtesting on a Chart & Miscellaneous Q & A Afterwards

The Mechanics of Backtesting

Playback Connection Best Practices

This video was created during NinjaTrader 7. However, the lessons taught are still good practice for NT 8.

Performance Tip

It is important from time to time to head NinjaTrader's Performance Tip #11. #11 is about reducing the size of the NinjaTrader database, which helps greatly with performance.

Signs that the database is to large:

The NinjaTrader platform or the chart starts pausing when any order on any account is submitted.
A longer than normal delay in the time it takes for an order to execute.
BlackBird/Raven, or any other strategy, takes a longer time to start up,

Any of those behaviors is a sign that NinjaTrader’s database is to large, and resetting it or clearing the Sim account history helps.

Clearing the history of the simulation account(s):
- Follow these steps from NinjaTrader.

Resetting the database:
- Go to the Control Center.
- Select the Tools menu, and then select Database Management.
- Next go to Reset DB, and reset the database.

NinjaTrader Strategy Help

The links below are provided to help you understand the various aspects, discrepancies, and information you need to understand about backtesting and other aspects of running a strategy, which can be a complex topic.

Data Feed Disconnect/Reconnect links

Option » Connection Loss Handling Parameters

How to keep strategies running...

Reconnection logic

^{(Note worthy posts; #2 & #6)}

Lost Connection and not Reestablished
When Strategy Loses Connection

NinjaTrader 8 links

Running a NinjaScript Strategy from a Chart

Discrepancies: Real-Time vs Backtest

Market Replay vs Back Test results

^{(this explanation still applies to NT 8)}

Strategy Position vs. Account Position
Setting Real-Time Strategy Options
Forex: Realtime Order Fills vs. Backtesting

^{(inside the 'How Bars Are Built and Orders Filled' section)}

NinjaTrader 7 links

Discrepancies: Real-Time vs Backtest
Market Replay vs Back Test results
Using ATM Strategies
Special Circumstance with Forex backtests
Strategy Position vs. Account Position
Setting Real-Time Strategy Options
Understanding Historical and Real-time Data

⚠ Know the Risks of Computerized Trading

We want you to be aware there are numerous components, both hardware and software, involved with computerized and automated trading. The process starts with your computer, running Windows, running NinjaTrader (NT), and running an NT strategy (i.e. Raven or BlackBird). When the strategy receives a “signal” from the BloodHound logic, it sends an order request to NinjaTrader’s order submission framework. At which point NinjaTrader transmits the order to your Broker, who must approve the order and then sends it to the Exchange. If your order is filled, the exchange notifies your broker, who then notifies NinjaTrader, and finally NinjaTrader updates/notifies the strategy. As this simplified example illustrates, there are several components & “players” involved and lots of software programs that make this all happen. If there is any miscommunication, internet lag time, or server overloading among these components, the strategy may get out of sync with your position(s) at the Exchange. If you suspect any issue with your live orders use the ‘Flatten Everything’ option in the NinjaTrader Control Center, and then call your broker immediately to verify. See the "Risks of Electronic Trading with NinjaTrader" section for more information.

General

BloodHound

BlackBird

Other Indicators