EA Money managment

So i’ve been messing around trying different things in the metatrader backtest.
I’ve had several EA’s which can have 90% profit trades with a wide stop and tight TP but that doesent mean it’s profitable :confused:

Is there a easy way to optimize this so i would be profitable? I’m trying the optimize feature but i cant seem to get any results from it and im getting tired of changing parameters manually. I do realize the disadvantages in optimizing but this will just run on demo of course.

Are there some general SL and TP “ratios” which in general work good for some pairs and TF’s?

I’d appreciate any input here :slight_smile:

Alrite, perhaps i need the EA to declare some variables in some manner which i dont know how to do as im using the strategybuilder from sufx.core.t3-ism.net.

Anyways, seems pretty any strategy i come up can have a high profit rate when the stop is wide but then the few losses will eat all the profit.

I was thinking of a system which will reinvest the profits but also add to the account for increased margin. 50% each kinda…

But then again, the wide stop seem to be what makes the EA have a high profit rate in the first place and thus rendering it unusable. Thoughts?

(Im not just going long on eur/usd here)

Well…I understand what you are going through. I have played with adjusting T/P and S/L on an EA to get the most bang for my buck.

I will no pretend to be all that great at Forex yet…but after a few months I have figured 1 thing that I can’t escape.

anything less than a 2:1 ratio is a bad idea.
anything less than a 3:1 ratio is probally going to break even.
I perfer 4:1 with a Trailing Stop that triggers at 2:1

I am begining to belive more and more that the best way to look at your system and the EA are to create a simple plan (K.I.S.S) that gives you a good chance at the 3:1 or even 4:1 ratios. This will usually mean larger time frames (H4 - Daily) at the very least. Then look into money management.

Take a basic EMA Crossover (Solid Basic Trading Tool) add RSI and Stoch.
Set it up Daily with…ohhhh TP of 400, SL of 100, Trailing stop 200.

Money Monagement, I bounce around on this a bit…but risking 2% of your balance seems to work rather well…you can even write this into your EA if you choose ( I perfer to do it manually, then readjust it every time i see a 5% increase of my balance.

There…my 2 pips on the topic :slight_smile:

Best of luck to you.