🎬 Season 1 - Episode 1 - Pilot: Inception 📈
Since July last Year I started to trade automaticaly by using EA on MT4 and MT5. I needed some active accounts to test the risk management platform I'm developing.
My first EA was 100% random, if I recall correctly the stop loss (SL) was at 40 pips and the take profit (TP) at 20 pips, the risk was 1% on the SL. I took a dozens of pairs on which I was in position 100% of the time, when a SL or a TP was hit I openned a new position randomly (buy or sell).
After a few weeks I saw that was not really profitable. And the account will probably lose in the long term.
I analysed the trades and saw that most of the lost was caused by the spread. Then I decided to stop the random choice and buy if the moving average was going up and sell otherwise. That was a bit better, the account didn't lose money in the following month but it didn't win either. The spread was still killing the gains.
That's when I decided to keep the positions open when the price hit the level of the TP if the moving average was still in the same direction. I didn't wan't to close a buy to open an other buy, that makes no sense. So I changed the EA a bit. The account grown from -15% to +15%.
To be fair, the current volatility helped me a lot. But if the account stays still during bad configuration and grows when the volatility comes back, then it's a win.
The results were good enough for me to test the strategy on a real account, a mini account with 1.5k€ (https://www.mataf.net/en/portfolio/246). As my broker only offers MT4, the EA was adapted. I test the strategy since the beginning of February. I continued to follow the risk and performance indicators to make some improvement in the algorithm. After almost 6 weeks, the account is at +15% with a floating profit of +10%. I was manual trader for the last 16 years and now I have a lot of fun working on algo trading. I'll continue to develop the risk management tools, the target is now a +100% on my account before the end of the year. I know that won't be easy, I doubt that's an achievable goal with different market conditions. But who knows 🙂
I'll continue to share the history of my trading strategy here