Hi all,
i’m a newbie. First of all excuse me for my english.
I’m backtesting my ea and i try to find a good stop loss (like 2,3,4,… hours low or High). The best result i found was with a fixed stop loss (like 7,8,9,10 pips from entry point). With fixed stop loss i improve the profit and produce less drawdown.
But i have a question. In real trading what happen with this tight stop? is there someone that use stop loss like me?
Thanks in advance.
Firstly, which EA is this?
It depends on the currency pair you are trading and the spread used in the backtest. Backtest spread is a sample taken when the test is ran - Your EA might get stopped out far more in LIVE trading depending on the pair. Also in LIVE trading there is slippage and the perfect entries you get in a backtest really dont exist in real trading. This isnt a problem for trending EA’s but scalpers or tight stops can suffer because of spread and slippage.