Discretionary trader's method turned into an EA! Great-value two-pack set 'PMA & MassyBo'
A Great Value Set of PMA and MassyBo
Using the portfolio feature, I compared the profit and loss curves of the two EAs.
PMA’s forward period is longer, so its P/L curve sits higher, but recently MassyBo has overtaken it in total profit.
Also, while PMA entered a downtrend from October to November 2017, MassyBo rose steadily during that period,
so we can observe an inverse correlation.
In forward testing, MassyBo seems to have better profitability.
Now, what will the profit and loss curves look like when we view long-term backtests?
【Performance comparison from backtests】
Backtest period: 2008.01.01-2017.12.31
0.1 lot fixed, spread 0.5 pips
PMA Click to enlarge
Comparing the two EAs’ performance
In terms of trades, maximum drawdown, and profit amount, PMA turned out to be the better performer.
In forward testing, MassyBo achieved a larger profit, so this is a surprising result.
We compared the P/L curves of the two EAs
PMA shows smaller drawdown dips and a steady upward trend.
MassyBo has a larger drawdown, but its rebound momentum from there is strong.
In forward testing, MassyBo’s rebound has surpassed PMA’s drawdown period up to the present.
However, this is a cumulative equity curve, so I also compared year by year
PMA generally shows higher annual profit, butin 2016, MassyBo had
higher profit.
Since both EAs were tested at 0.1 lots, at 0.2 lots the annual average gain would be +1,985 pips, which I think is excellent.
The 2017 backtest results aren’t as strong as the forward results, but perhaps forward results may be better.
There may be a tendency for the results to improve.
Drawdown per 0.1 lot is 60,000 yen for PMA and 90,000 yen for MassyBo, so,
on a 1,000,000 yen account, using PMA at 0.4 lots and MassyBo at 0.1 lots yields an average annual return of +58% (simple maximum drawdown is 240,000 + 90,000 = 360,000 yen),
and using PMA at 0.3 lots and MassyBo at 0.2 lots yields an average annual return of +52% (simple maximum drawdown is 180,000 + 90,000 = 270,000 yen).
That seems achievable.
If you can buy these two EAs for only an extra 9,800 yen, it’s a very good value set!
＞＞Great Value Set of PMA and MassyBo
