[I][B]Hi Chris et al,[/B][/I]
I’ve had FapTurbo from a short while after it’s release and it is widely touted as being the ‘world’s most successful EA’ It likely is: at least in sales! This was the EA that ‘eloped’ on me over night and I awoke to it being ~ [B]-450 in the red[/B] and finally got out of it with ONLY a [B]300 pip loss![/B] )< 8( I’ve NEVER been able to make any money with it and I spent a LOT of time and energy on numerous occasions trying to do so. They have just released a new version of their scalping pairs based on the Ichimoku indicator. While it is better than their previous versions on a number of levels, so far it has still proved to be more bother that it is worth. )< 8(
What was the other one that fell into this same classification? A yes: MegaDud (MegaDroid) it hardly ever traded and most definitely was not profitable on the long haul. Or in the fairly short term really either as far as that goes.
[B]Brokers DO make a difference![/B] I’ve got some good documentation on this and how to do some ‘testing’ on them that came with what may be a good EA that I haven’t got around to trying yet. If I’m able to, I’ll post the relevant excerpt from it here later. Also different EAs will perform differently with different brokers. Again, their is NO substitute for your OWN first hand experience and confirmation. Alas almost the entire retail ForEx market has virtually NO credibility and by and large their is an almost total lack of integrity and honesty. )< 8(
Like so many other traders before me, I jumped into Live trading almost immediately. So for quite some time now I have hardly done any live trading but a LOT of demo trading /forward testing. I’m on permanent disability now and live WAY below the poverty line (& yes it is true what they say: Poverty SUCKS big time!) so I’ve had very little discretionary income for quite some time now. Relative to this, in spite of what many (brokers) and EA shysters say, if one doesn’t have a large enough opening balance to handle the drawdowns AND the drop in equity in open trades. Most systems are not going to survive and become profitable with $50 or $500 etc. The latter is an often overlooked important factor. Don’t go live with ANY trading systems including bots until you are very familiar with it’s performance in forward testing and only then when you have enough money in your account that you have a very high degree of certainty from this first hand experience that you KNOW that the opening balance is going to make it into profitability and start growing without getting wiped out. (Under my circumstances) Alas I can personally attest to this hence my current ForEx ‘Trading’ activities. If you are starting out with any trading system, manual or automated, I suggest that you only put it on on the account at least until you have it well built up into the safety zone and have another winner that you have first hand experience with that you can add into it. Though not always financially feasible, if you can I very strongly suggest setting up separate accounts, including with different brokerages for different trading systems/bots. Just like any investing: diversification is an important factor to long term success. If you have real strong winner that has brought in a good return, then spread it around onto a couple of different brokerages as well. I know of successful traders that use up to 5 different brokers for any one profitable ‘system’.
[B][U]Be patient, persistent, sensible and conservative[/U].[/B] This IS investing and NOT gambling! If gambling has it’s hook in you, turn away from the ForEx market as quick as you can and run as fast and as far as you can from it and don’t ever look back! Unlike all of the hype about the retail forex market being a ‘get rich quick’ scheme. ForEx traders that are successful over the long haul are VERY conservative. They don’t usually utilize the really highly leveraged rates either: it cuts both ways. You’re probably going to be a whole lot more successful over the long haul trading at 15 to 1 than at 100 ~ 400 to one. Remember: 1% ~ 2% per trade at the very most.Even with this, I don’t recommend ever having more that 10% total in play at anyone time; and these figures are on the HIGH side! If you are over leveraged, you may not be able to place trades with low enough lot sizes so that you are not over leveraged and at to high a risk level. Better to have more trades at lower leverage than the other way around. Only if and when you have a proven trading system that you KNOW for certain is a rock solid performer with VERY low drops in open equity and DrawDowns and losers, then go for some higher leverages if you want. But don’t put anything else at these kind of leverages until you do. Again, under such circumstances I strongly suggest a separate account for each such product/system.
[B]U Optimizing[/U]:[/B] I picked up some good tips recently on this:
[B]1)[/B] Don’t pick the top, but isolated ‘best performer’ In the MT4 results graph. Use the 2 dimensional graphic results. Pick settings from the REGION that is profitable. If it is a very selective performer that won’t make anything except under the EXACT optimization results, it is going to fair a lot better if it is still going to make at least some money whenever it is in the ball park rather than the occasional ‘Bull’s Eye’ big winner but with a LOT more losers because it missed the very tiny mark.
[B]2) [/B]Divide your optimization periods up into 4 quarters. Optimize on the first 3/4 of the data and then run the strategy test with these setting on the final 1/4 and see how it does.
[B]3)[/B] One very successful automated trader [B]optimizes his EA’s EVERY weekend on the last two weeks of data.[/B]
Again; rely on your OWN testing, experiments and experience before going live with anything including such optimizations.
When I’m choosing which optimization results to utilize, I sort it by DrawDown: lowest to highest. Then I start from the top and work down and look for the best balance in a region that has similar results with different settings and pick the ‘MotR’ (Middle of the Road) settings from this region.
[B](8 >) Prosperous trading to one and all (< 8)[/B]