Friday, August 24, 2012

Strength EA - the fall

I added one limitation to the live EA: if a certain profit in percents is achieved close all the trades and quit for today. In addition I restricted the amount for opened trades to 3 and it went well for the first two days.
The demo account already gained 28% profit. It looked wonderful and then came the big fall.
48 hours of stamping market deleted almost all the EA's profit. This is the major problem of the EA: stamping market. Every trade it made became a loss.
The demo account did great for two weeks. Most of the loosing trades were closed due to reversing signal and not because reaching the stop loss.
I added a flag to control the reverse signal closures but it's not enough. My EA did great also in short stamping market periods. I don't see any solution for this problem. At the meantime I'll let it run in demo and I guess that it would keep the trend from the beginning but there are bad times like those two days.
One good solution I can think of is daily target stop in percents like the profit I set in the live EA.

And it gave me the idea for the next EA...

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