? Lotus (Lotus) geometric averaging deep dive

■ 【Diagram】 Why doesn’t it blow up? The secrets of the Lotus-style geometric averaging

The reason typical averaging EAs blow up when the market suddenly changes (XX shock) is that they hold an excessive number of positions at the same interval (e.g., every 20 pips).

In contrast, Lotus employs a unique geometric logic that expands the distance to the next order as the situation becomes more perilous (escape).

Please see the simulation table below.

※ This is the dedicated optimization setting for the first release in the AUDJPY (M5) pair.

? Nanpin progression simulation (AUDJPY, M5)

【Settings: distance 2.0x / lot 1.6x / starting 0.01 lot】

? This is the biggest point to “preserve funds”!

① Expand the distance significantly and keep the increase in LOTs mild

In AUDJPY settings, the distance to the next order expands 2x each time: 30 → 60 → 120 pips.

However, the lot size is not doubled all at once, but kept at a mild 1.6x.

This creates an ideal contrarian trade: during a sharp drop, you mostly skip positions and, near the bottom, enter a moderate lot to anticipate a rebound.

② Even in a massive crash (about 5 yen drop), you stay calm

For example, if there is a historical crash where it drops 4 yen (400 pips) in a few hours:

• General EA: continues averaging every 20 pips, holding as many as 20 positions and blowing the account in an instant.

• Lotus: as the table above shows, even a 400-pip drop leaves you with only 4 positions. You minimize damage to your funds and, once the market settles and rebounds a bit, quickly convert to profit and close.

⚠️ 【Important】 Fully optimize for each currency pair

The values above—distance 2.0x and lot 1.6x—are derived from thoroughly analyzing past AUDJPY market data to find the safest and most profitable solution. This is not fixed across all currency pairs.

When updates add EURUSD or GOLD, applying the same settings to currencies with different volatility can be very dangerous.

In the Lotus project, for each newly added currency pair, we will conduct backtests covering more than 15 years.

We will embed the currency-pair-specific optimal parameters (distance, lot multiplier, etc.) into the internal logic and release them.

What you have to do is set the EA on the chart. The development team will handle all the complex parameter tuning, continuously providing the best portfolio.