BreakingMagnum

BreakingMagnum Overview

BreakingMagnum is a'The price movement to break the daily highs and lows.'It is a "breakout EA that aims to

(Currency pairs: USDJPY, EURUSD, GBPUSD) When it comes to breakout EAs, some of you may have had the experience of saying, "The backtest was strong, but I didn't win at all in real operation..." I am sure that some of you have experienced this. If you are thinking, "BreakingMagnum is a garbage EA that can only win in backtesting anyway, right? If you think "BreakingMagnum is a garbage EA that only wins in backtests," please see my real account below.

The real account operation has a profit of about $100,000 (as of September 2023).

(Although the period of flatness is getting longer because I have made several withdrawals to pay taxes and disperse funds and the lots are getting smaller and smaller...)

BreakingMagnum is profitable in real accounts because it has implemented "three features" to avoid the risks inherent in real operations.

I will introduce these "three functions" in the following sections.

Three features of BreakingMagnum

The following three features are implemented in BreakingMagnum to solve the issues I have found in real operation of breakout EAs.

1. risk aversion function
2. Market Trailing Function
3. Position holdback prevention function

Each of these functions will be explained in the following sections.

Function 1: "Hazard Avoidance Function" to prevent unexpected losses

The first functionis the"danger avoidance function.

This is a function that " deletes all stop orders for entry and no positions if the spread exceeds a certain value. (Default is set at 50 points. Please change accordingly depending on your environment.)

Why did you implement the "Hazard Avoidance Feature"?

Function 2: "Market Trailing Function" to reduce losses specific to real accounts

The second functionis the"Market TrailingFunction.

While most EAs use SLs (stop loss orders) for trailing stops, BreakingMagnum uses market orders for trailing stops.

*Additional features from ver7 (January 2024)

This reduces large losses such as "full SL from trailing stop failure," which is common with the stop loss method, and thus reduces the difference in performance between back testing and real operations.

Why do SL trailing stop orders sometimes fail?

One of the causes of SL trailing stop order errors is the time lag between when the EA submits the order and when it is executed.

Brokerage firms distribute rates

⇒ EA places an order at the received rate

⇒ Brokerage firm receives order

⇒ Brokerage firm processes the order

This time is less than one second, but even in that fraction of a second, the exchange rate could be fluctuating, right? Therefore, if the rate is moving in an unfavorable direction, the order may not be executed and an error may occur. This tends to happen with breakout EAs because they tend to trade when price movements are large.

"I was winning in the backtest, but losing in the real account..." This is one of the reasons for the "Insurance Settlement Function " .

Function 3: "Position Holding Prevention Function" to prevent losses due to early morning spread widening

The third functionis the"position holdback prevention function.

This function is triggered in the early morning hours of Japan time (22:00 GMT2 (summer time GMT3)) and performs the following processes

• Delete new entry stop order
• Settlement of open positions

(When using a non-GMT2 brokerage, the activation time can be adjusted by parameters.)

This prevents positions from crossing over into the next day and prevents unexpected losses due to widening spreads in the early morning hours of Japan time.

In the early morning hours of Japan time, spreads tend to widen at all brokerage firms, and there is a possibility that you may incur more losses than expected through SLs. To limit such risks, we avoid taking positions during the early morning hours when uncertainty is high.

back-testing

After a lengthy discussion, here are the results of the back test.

Conditions: 0.1 lot fixed, TDS variable spread (no slippage)

　　　The portfolio is based on three currency pairs, USDJPY, EURUSD, and GBPUSD.

Long-term backtests since 2003 show a steady increase and no negative year-to-year changes.

Conclusion

We are pleased to introduce BreakingMagnum.

BreakingMagnum has implemented "3 features" to achieve results in real accounts and has actually achieved results in real accounts (as of September 2023).

We are not sure if it will continue to win in the future, but if you have been unsuccessful with "breakout EAs that do not win in real accounts", why not give it a try?

If you are interested, please register your favorite first.

That is all. Thank you for reading to the end.