Over 1000 trades per year with a single position! "Neo Scalping Monster"
【Neo Scalping Monster Overview】
Currency pair：[EUR/USD]
Trading style：[Scalping][Day Trading]
Maximum number of positions: 1 Other: No averaging down, Martingale, or hedging
Timeframe used: M5
Maximum stop loss: 95 (modifiable; stop-loss mainly by the logic)
Take profit: 25 (also possible; profit-taking mainly by the logic)
【Forward Analysis】
In about one and a half months of operation, 95 pips earned, with 132 trades.
High-frequency trading at around 100 trades per month!
【Backtest Analysis】
2005.01.10-2018.07.03
Spread 0.5 pips
1.0 lot fixed
Net profit +20.03 million (about 20,000 pips)
Total trades 15,644 (annual average 1,150)
Maximum drawdown 945,000 yen
Average gained pips 10 pips
Average loss pips -19 pips
Win rate 68％
That’s the result!
Profit Factor (gross profit ÷ gross loss) is around 1.2, so the spread is quite severe.
Also, considering the maximum drawdown, the recommended margin is
per 0.1 lot
（4.5）＋（9.4*2）＝23.3
For about 0.1 lot per 250,000 yen, there should be no problem.
In that case,Expected annual return is 63%.
In forward testing, margin of 1,000,000 yen is used to operate 1.0 lots.
【Profit/Loss Graph】
The profit/loss graph shows the maximum drawdown occurred in 2012 and 2016–2017 (around -800k yen per 1.0 lot).
【Monthly Profit/Loss】
Looking at monthly P/L,there has never been a negative year.
December tends to be weak,there were times with up to three consecutive negative months.
On a yearly basis, 2016 had the lowest profit, while 2009 and 2012 achieved performance approaching 300% annual return.
【Average Time Distribution from Entry to Exit】
As befits scalping, most exits occur within about 8 hours.
Looking at the holding-time distribution for Profit/Loss, there are positions held for 2 days or more that stood out.
There is a Friday night forced close to avoid weekend gaps, so
a time-based forced settlement feature might be nice?
Also, since the maximum SL can be adjusted, you might want to try adjusting the max SL value.
【Trading Example】
Red: SELL
Blue: BUY
On a 5-minute chart, ride a small trend and exit quickly.
When the trend reverses, cut losses cleanly and flip positions.
Riding the wave yields consecutive wins!
Besides stop loss, there are logic-based exits, so even if the maximum SL isn't hit, it closes with a small loss.
Maximum drawdown under 50%,
the last five years’ expected annual return is 48%
The last ten years’ expected annual return is 69%— a remarkable performance!
Annual gained pips are also expected to exceed 1000 pips★
An EA that can deliver over 1,000 trades per year, about five trades per day!
Would like to operate with a broker offering narrow spreads.
