Hello,
I’ve been trading with my EA for the last couple of months and now I’m seriously got stuck with it. More specifically said my account is stagnating between being -6% and + 2 % in the last month.
Before I tell you more about case allow me to introduce my trading strategy:
I have coded a EA that uses alligator and CCI (14) as it’s technical foundation. The CCI above level is 100 and bellow level is -100. I have added a news stopper which prevents the ea from opening orders of there is a upcoming news with in the last 3h (this can be changed if needed). The time frame I use is 1 Hr.
I currently use a stop loss / take profit limit of 20/20. Previously I’ve tested with TP20/SL40 and TP40/SL20. I’ve found out that TP20/SL20 works best since my win rate is around 57%. When I’m at home I tend to monitor my SL and TP levels manually. Is it recommended to stay flexible with sl and tp levels or keep it as it is now i.e sl: 20 and tp:20?
Pairs that I trade: eurusd, usdjpy, usdchf, usdcad,nzdusd, audjpy, Nikkei index (rarely).
And now to the real deal.
My goal is to trade with the trend, it hasn’t really worked since my ea opens trades that are totally against the trend or it opens a new trade before a pullback ( which even I’m able to spot), sometimes I’ve encountered that it has opened a trade within a reversal which is totally not cool since all of these scenarios are against the major trend.
I’ve also encountered situations were my EA has opened a trade when alligator is at sleep meaning it hasn’t showed any directions were the market is going. All of these situations are scenarios that I want to avoid at all cost, since my goal is to trade with the trend and not against it or some “special event”. To be honest I couldn’t care less for some special event’s or short term quick profits, only thing I care about is the long term trend and making money out of that with the smallest risk possible.
Some trades that my EA opens are totally un-market wise if I my put it like that, they do not make any science and that is what is frustrating me since I know from past experience that trading the alligator indicator is a extremely good indicator for trend trading.
So I’m desperately in need of help / advice what to do to fix it so that it shows more consistent profits but more importantly that it trades with the trend. I don’t know if the problem lies in CCI which I use to confirm the trend , now it’s set that the upper level is 100 and the lower is at -100. Can those affect my trading since according to my research that I’ve done I’m kind of trading when the market is oversold and overbought, this can have a affect on my trading?
Can this also explain why my drawdown is so high? I’ve noticed that I have pretty high volatility which also would bee a nice thing lower it. It makes me wonder if that has something to do with CCI setups since my doesn’t trade during news. I’ve also lowered my spread levels from 5 to 1.
Through this link you can find more info about my EA and key financial data:
Picture of my backtest that I did on the weekend, not that I used default setings.
Ideal situation would be :
CCI;
Ideal Alligator;
Long
Short
What would be the most suggested thing to do? For example adjust CCI levels or just keep on keeping on and one day find the right combination by luck? My own conclution would be to adjust the CCI so that at buy it’s 0 and shell the CCI would be - 10 (for example).
I have a couple links I can send to you if needed, you’ll find it useful.
Thank you for the time you invested in reading this post and I hope hear what’s your opinion since I’m always open for new ideas.