Create an EA to verify the effectiveness of "RCI3 Full Line + mBDSR" - 押し目買い・戻り売り　RCI3本ライン＋BODSOR (mBDSR) の活用例など - Navi+ - GogoJungle | Auto Trading - Market Analysis

※mBDSR is an indicator developed to improve the entry precision when buying on dips or selling on rallies using the RCI 3-line method.

This indicator was developed for that purpose.

In the case of an EA, backtesting and forward testing are methods to demonstrate its effectiveness as concrete numbers,

but how should the effectiveness of an indicator be demonstrated?

　mBDSRitself iscombined with theRCI 3-line

and it was developed as an indicator, but here we take a certain timeframe for USD/JPY as an example and

,“RCI 3-line + mBDSR”to demonstrate its effectiveness with concrete numbers, the entry conditions are“RCI 3-line +

mBDSR”decided only by, and then setting TP and SL to create a risk-reward favorable EA for backtesting

was performed.

(The results below are only an example...)

EA Overview

Currency pair: USD/JPY

Timeframe: not disclosed

Entry conditions:Decided only from RCI and mBDSR(Details are unpublished)

Lot size: 0.1 lots (fixed)

TP: 105 pips (fixed)

SL: 15 pips (fixed)

Other (settlement related): no breakeven or trailing stop settings

Spread: 1 pip (fixed)

Trade direction: sell only

Number of positions: no limit

Backtest results (Period: 2007-01-01 to 2018-07-31)

Period: 2007-01-01 to 2018-07-31

Total trades: 871

Profit factor: 1.59

Net profit: 6,352.57 USD

Maximum drawdown: 566.37 USD

Net profit / Max drawdown: 11.21

Expected gain: 7.29 USD (7.2 pips)

Average trade duration: 1 day

The entry conditions aredetermined only from RCIandmBDSR, yetthe profitability factor value

is 1.59and yields good results. Considering that no other indicators are used at all, the above example can be said to show that

the combination of “RCI and mBDSR”is very effective, and I think

it demonstrates that.

The TP (= 105 pips) is 7 times the SL (= 15 pips)risk-reward ratio is highand yields such favorable results as above

Therefore,the combination of RCI and mBDSR is “very effective at catching timings when the price moves strongly in one direction”

as can be inferred from this backtest.

Also, in the above example,the average trade duration is 1 dayand it is not a so-called “scalping.”

Additionally,the expected gain is 7.2 pipswhich means the test was conducted under conditions less affected by spreads.

BODSOR (mBDSR) sales page ishere.