TOKYO PREMIUM

Features of the EA

This EA is designed to trade in the direction of expected settlement by Japanese companies on specific days.

I personally used similar EAs from other authors, but due to the recent one-sided depreciation of the yen and deteriorating performance, I developed this product to improve my own portfolio.

Therefore, I decided to reassess the essence of the mid-rate trade and create my own EA.

As this EA will manage your important funds, I have included the logic as much as possible, rather than keeping it a black box.

Please purchase with this understanding.

Straight to the Conclusion

To get straight to the conclusion, when setting detailed conditions and verifying them, the USD/JPY exhibits characteristic price movements during the mid-rate time, and this EA targets the following days.

▀ 5th Day of the Month

▁ End of Month

About the Short Logic

The entry time is at 9:55, and the exit will be before 14:00.

Initially, mechanically shorting every day at 9:55 yields the following results.

Even considering a spread of 1.0 pips, it is winning, but it feels quite tight.

However, when focusing on the 5th Day of the Month...

The results become quite stable.

Next is the end of the month. (After the 23rd of each month)

This is the result of shorting on regular days excluding the 5th Day, end of month, and Fridays.

(Fridays also tend to favor shorting, but since the advantage is minimal, I have excluded them.)

It became clear that shorting on days other than the 5th Day, end of month, and Fridays only resulted in losses.

I myself incurred significant losses using commercially available mid-rate EAs,

and I deeply regret that if I had started working on my own EA sooner, I could have avoided considerable losses.

About the Long Logic

For many commercially available EAs, long entries are made towards the mid-rate time on the 5th Day starting from 9:30.

However, since there is only 24 minutes from entry to exit, it is difficult to capture price movements, and if the spread is 1.0 pips, it becomes a loss, indicating that it is challenging to make a profit unless using a broker with favorable spreads.

To improve this weakness, it was found that pre-positioning long trades during calmer times after the intense trading during NY hours can clear this issue.

Inferences from the Above

Based on the verification results above, it is expected that the following real demand money flows have been ongoing for many years.

5th Day of the Month ⊲ Strong dollar buying demand increases from midnight towards the mid-rate time, leading to dollar purchases. After the mid-rate time, these tend to revert, resulting in relative dollar depreciation.

Fridays ⊲ Tend to exhibit similar price movements as above, but not as strong as the 5th Day.

End of Month ⊲ There is no dollar buying demand, but there tends to be yen appreciation in the morning. (It is expected that companies are converting foreign currency to yen for employee salaries and other payments at the end of the month.)

The logic of my EA consists of the following three points.

Long on the night before the 5th Day, short during the mid-rate time on the 5th Day, and short during the mid-rate time at the end of the month.

Furthermore, regarding shorts, I have incorporated a logic to avoid entry when the chart is in an unfavorable position if there is no dollar buying demand, which has further improved performance. The combined results are as follows.

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Even with a spread of 1 pip, the profit curve shows PF=1.6 or higher,RET/DD around 20,and an expected profit of 4.2 pips, transforming it into a super high-performance EA.

I have absolute confidence in the logic, so if you are interested, please consider purchasing.