Using high-correlation logic
EA "Sen-Shi Ban-Kou" Thorough Explanation Part 2

■ Overview

EA "Sen Shi Ban Kou" uses the high-correlation logic with the help of Excel's analysis tools.

It is believed to have a higher potential for long-term stable profits than relying on intuition or rules of thumb.

This time, we will introduce part of that method.

(Sales site) https://fx-on.com/systemtrade/detail/?id=14944

■ How the conventional logic is decided

① Load various indicators onto the chart, enter here, and exit here to decide the logic.

② Move the chart, check whether this logic works in different time zones and situations.

③ If it seems to work well, actually create the EA and verify.

④ Optimize with Strategy Tester.

⑤ If profits are not good, the performance factor is low, or drawdown is large, go back to step ①.

■ Deficiencies of the conventional logic decision method

I also used this method in the past. The drawbacks of this method are

・A lot of time is spent on steps ① and ②

・As a human, we tend to focus only on successful areas.

・It is hard to create an EA that yields profits.

Therefore, by using analytical tools as described below, I was able to find good logic more quickly.

■ How to decide logic using Excel analysis tools

① Create a basic EA

② Create an EA that obtains the values of each logic at the entry time in step ①

Written data is saved to a CSV file.

③ Move the CSV from step ② into Excel.

The result after migration is shown below.

The data include day of the week, season, month, profits, moving average values, pivots, and various technical indicators.

④ Use Excel data analysis to compute correlations

The result is shown below. The higher the correlation, the higher the value.

⑤ When selecting the Top 10 with the highest profit and correlation

⑥ Logic items such as dmax and width show high correlation, so these are adopted as the EA logic.

An EA created in this way is the "Sen Shi Ban Kou".

■ Important points

An EA using highly correlated logic has a higher potential to generate stable profits.

 https://fx-on.com/systemtrade/detail/?id=14944

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