Forex Expert Advisor (EA) - Research-Based Algorithmic Trading System

Developed by a financial markets researcher specializing in forex and stock market analysis.

Backtest Performance

Test Period: July 1, 2011 - January 13, 2012

Currency Pair: EURUSD

10,000→59,294 (backtest results)

⚠️ Past performance does not guarantee future results

Trading Concept

This EA capitalizes on market retracements within trends. Even during strong trends, markets temporarily reverse due to:

✓ Key support/resistance levels

✓ Profit-taking by dominant traders

The EA exploits these counter-trend movements while maintaining alignment with the broader trend direction for optimal performance.

Trading Logic

Trend Identification

Uses 34-period Moving Average (MA) on daily charts (D1)

Buy when MA(34) slopes upward

Sell when MA(34) slopes downward

Position Management

Closes trades at predefined Take Profit (TP):

60 pips (4-digit brokers)

600 pips (5-digit brokers)

Implements progressive lot sizing on counter-trend movements:

LevelLot MultiplierExample (Base 0.1)

01x0.1

11x0.1

22x0.2

34x0.4

48x0.8

Key Parameters

ParameterDescription

TPTake Profit (60 for 4-digit/600 for 5-digit brokers)

DPChart timeframe (default 1440 = D1)

MAPMA Period (default 34)

MaxTradeMaximum simultaneous trades in one direction

TradeType0=Auto, 1=Force Buy, 2=Force Sell

Optimization Recommendations

For enhanced performance, combine with:

✓ Moving Average confirmations

✓ Bollinger Bands®

✓ Support/Resistance levels

*Adjust TradeType parameter (0/1/2) based on additional indicators*

Minimum account balance: $500 (for 0.01 lots)