FX Rules Verification Result is Astonishing!! by MT4
This is something I verified quite a long time ago.
I found it again after a long time, so I’m sharing it for posting practice.
It references a well-known YouTuber's logic.
If you're interested, please take a look!
The author's hallmark is to focus on swing trading using daily charts,
providing rule explanations and explanations that even beginners can easily understand.
This time's rules also involve relaxed trading using daily charts.
Since I determined that an EA is possible,
I created an original indicator and EA and ran backtests.
Premise
・Verification period: 12.1.1-21.3.31
・Daily chart
・Risk-reward 1
Rule: for a buy
・Prepare with a golden cross of 10SMA and 75EMA
・Enter when the price touches with a bullish candle after that
*If preparation is complete but there is no bullish touch and a dead cross occurs, reset to the golden cross
Stop loss
・Fixed at 50 pips
Also, regarding stop loss, applying a fixed value to currency pairs with different volatility feels off, so
I added ATR for verification
Additionally, by adjusting the ATR ratio for selling and buying,
and then compared it to a simple golden cross vs. dead cross.
And this is a comparison against the simple golden cross and dead cross.
The results are shown in the table below.
・Top-left to top-right: stop loss fixed at 50 pips
・Top-right to bottom-right: stop loss using ATR (5 bars)
・Bottom-left: ATR ratio optimization for selling and buying
・Bottom-right: entry right after a golden cross or dead cross