[Verification Report] The Golden Crest × Fully Reversed EA 1-minute Auto Trading Reality and CFD Margin “Invisible Pitfall”

Hello everyone. This is Jerusalem.

I have begun forward testing of the evergreen popular indicator "The Golden Emblem" by happyAngel (latest version. Thorough no-repaint version of the past intraday data for the C5 version, highly rated in online communities) with my fully-automatic EA "Loop-Turnaround_EA" that I am selling, using a simulated account on Rakuten Securities MT4 starting from the 1st of this month.Loop-Turnaround_EA in the demo account on Rakuten Securities MT4.で自動売買フォワードテストを開始しました。のDemo account

Today, I would like to share the real results from the first two weeks (1-minute chart operation) and the essential “margin trap” you must know when auto-trading CFD assets.

■ 2-week total results

・Target instruments: Nikkei 225-1-minute, GOLD1-minute

・Virtual margin: 5,000,000 yen (demo account)

・Realized P/L:-299,279 yen

・Current unrealized profit: +172,236 yen

If you think, “Huh, a negative start?” please look at the asset progression in the chart.

There is a point in the early stage where assets drop sharply like a cliff, but that is actually the “margin trap for GOLD on Rakuten MT4 CFD” causing an forced liquidation that I want to tell you about the most.

■ 【Warning】 The shock of 1 lot = 4.3 million yen of margin

As I ran GOLD with the sense of a currency pair, the EA calculated that I held “1.02 lots,” which tied up about 4.3 million yen in margin. As a result, with only a small adverse move, the account’s available margin ran out, and before the EA could decide to reverse (stop out), the brokerage executedan automatic stop-out (-810,000 yen loss).It was executed.

■ Outstanding recovery power of the Nikkei 225

However, the real highlight starts here.

By revising GOLD’s parameter settings (for 0.01 Lot, increasing the margin basis from 50,000 yen to 500,000 yen, and adjusting to 0.09 lots

In fact, excluding the loss from the forced stop-out,the 1-minute chart of the Nikkei 225 alone achieved a realized profit of [+] 510,000 yen over these two weeks.

The later part of the chart shows an upward trend, which is proof that the latest Golden Emblem’s signaling accuracy and this EA’s reverse logic are functioning perfectly. Combined with the unrealized profit of GOLD at the current proper lot size (+140,000 yen), losses are being steadily recovered.

■ The importance of this EA’s “money management feature”

From this lesson, you can understand that when dealing with CFD instruments, you must adjust the lot size according to each instrument’s leverage (required margin).

‘Loop-Turnaround_EA’ includes a management function that allows you to configure the “margin per 0.01 Lot” per instrument via parameters. Using this function enables safe risk control even for unusual instruments like GOLD.

■ Preview for next week’s testing (1-minute chart → 5-minute chart)

Although the 1-minute chart has shown an edge, to further reduce noise and slippage costs and to convert larger trends into profits, we will switch to a “5-minute chart” and continue testing for Nikkei 225 and GOLD by changing the timeframe from next week.

If we extend to a slightly higher timeframe, will the Golden Emblem show even higher performance as a fully reverse EA?

Please look forward to the next report as well!