Avalanche - page 514
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Having failed to get satisfying results with avalanche-like EAs in my time, for a long time I was engaged and used EAs with averaging martingale. However, last year such EAs did not prove to be satisfactory. I decided to return to avalanche-like EAs and try to improve my earlier results. And I succeeded. First of all, I managed to noticeably decrease drawdowns and improve profitability.
Here are the test results from 05.02.2015 on EURUSD.
This latest version was made this weekend. The previous version (which has 2 times the maximum drawdown) has been successfully working on real account since 16.04.2015.
Having failed to get satisfying results with avalanche-like EAs in my time, for a long time I was engaged and used EAs with averaging martingale. However, last year such EAs did not prove to be satisfactory. I decided to return to avalanche-like EAs and try to improve my earlier results. And I succeeded. First of all, I managed to noticeably decrease drawdowns and improve profitability.
Here are the test results from 05.02.2015 on EURUSD.
This latest version was made this weekend. Previous version (which has 2 times max drawdown) has been successfully working on real account since 16.04.2015.
I have a lot of similar Expert Advisors myself, some with corridor compression coefficients and with different multiplication coefficients depending on the lot size. I've tried to use them all, but they all do not give results.
I've come to the conclusion that some guys work in the flat, others in trends. But at the right time I can't switch from trend to flat, because I don't know how!
I've been working with the same mechanics for 2 years and i have never seen this topic, i don't spend much time on the forums.
I have a lot of similar Expert Advisors myself, some with corridor compression coefficients and with different multiplication coefficients depending on the lot size. I've tried to use them all, but they all do not give results.
I've come to the conclusion that some traders work in a flat, others in trends. But at the right moment I can't switch from trend to flat, because I don't know how!
I may be wrong, but i don't know how to do it. i have a different approach from many here. i've been dealing with the same mechanics for 2 years and have never seen this theme, i don't read enough on the forums.
The main difference from the classic avalanche is that the corridor limits within one order series are variable. I limit my loss to 25% of my balance. I believe an avalanche-like EA can only become stable if we frequently optimize it and limit losses. Optimization of experts in the tester on too long a time interval (for example, several years) is now meaningless. If we manage to achieve stability over a long time interval, it is only at the expense of a very low profitability of the Expert Advisor. And it still does not guarantee the loss of the deposit in the future. I had an EA with an averaging martin that was tested in 1999 without losing money, and in 2014 it started to lose money. Now I think it is enough to optimize it for several months, as long as my broker allows me to download minute quotes. I believe that optimisation on third-party quotes is pointless.
The main difference from a classic avalanche is that the corridor limits are mobile within one series of orders. I limit the loss at 25% of the balance. I believe an avalanche-like EA can only work steadily on a real account if we frequently optimize it and limit the losses. Optimization of experts in the tester on too long a time interval (for example, several years) is now meaningless. If we manage to achieve stability over a long time interval, it is only at the expense of a very low profitability of the Expert Advisor. And it still does not guarantee the loss of the deposit in the future. I had an EA with an averaging martin that was tested in 1999 without losing money, and in 2014 it started to lose money. Now I think it is enough to optimize it for several months, for as long as my broker allows me to download minute quotes. I believe that optimisation on third-party quotes is pointless.
low profitability - how much is it? you can set up trades for several currency pairs, thus diluting drawdowns and returns.
I have made a fixed corridor for 5 trades only. Then the Expert Advisor stops to set and stays with the trend. To identify the trend I took MA on H4. If 2ma is crossed further in the opposite direction, I reverse. It turns out that for the first trades the corridor is fixed, then it follows 2MA with coefficient of multiplication. The problem is that I can't find an indicator or series of indicators that give good enough accurate signals. The problem is that I can't find an indicator or a series of indicators that would give good enough accurate signals... If I want to go double lot with them and bring the whole series to symbolic profit, fix everything with "close overlapped orders" and start from the beginning with default settings...
The problem is in the indicator! I'm ready to use this kind of drawdown for a month, as long as it gradually reaches zero according to indicators.
I tried to use ilan indicator after 5 trades. I tried to use ilan's mechanics after 5 trades, for example, to buy lower, if the buy corridor stopped... But 2014 showed that there are some big reversal trends, so I pushed the idea aside!
Low profitability - how much is it? you can adjust your trading to several currency pairs, thus blurring both drawdowns and profitability.
I have a fixed corridor for 5 trades only. Then the Expert Advisor stops to set and stays with the trend. To identify the trend I took MA on H4. If 2ma is crossed further in the opposite direction, I reverse. It turns out that for the first trades the corridor is fixed, then it follows 2MA with coefficient of multiplication. The problem is that I can't find an indicator or series of indicators that give good enough accurate signals. The problem is that I can't find an indicator or a series of indicators that would give sufficiently good accurate signals... So I can double lot them and bring the whole series to symbolic profit, fix everything with "close overlapped orders" and start from the beginning with default settings...
The problem is in the indicator! I'm ready to use this kind of drawdown for a month, as long as it gradually reaches zero according to indicators.
I tried to use ilan indicator after 5 trades. I tried to use ilan's mechanics after 5 trades, for example, to buy lower, if the buy corridor stopped... But 2014 showed that there are some big reversal trends, so I pushed the idea aside!
I'm also thinking of making it enter the market at the beginning only when volatility is high.
For example, if ADX>30, then we work. If less, then as soon as the series closes on Take Profit, we do not open new ones. We wait for ADX>30 on m15, for example.
Thus, we knowingly will not enter sideways. Although it should be tested.
I'm thinking to set another time for working. For example, in the most volatile hours. Or at the beginning of the hour always... I do not know what is better.
I'm also thinking of making it enter the market at the beginning only when volatility is high.
For example, if ADX>30, then we work. If less, then as soon as the series closes on Take Profit, we do not open new ones. We wait for ADX>30 on m15, for example.
Thus, we knowingly will not enter sideways. Although it should be tested.
I'm thinking to set another time for working. For example, in the most volatile hours. Or at the beginning of the hour always... I do not know what is better.
For an avalanche-like EA the most difficult section is the diverging triangle. Here we have to think about how to reduce the drawdown in this situation.
you must first identify that it is a diverging triangle and then take action.
You can try to identify it by using an indicator that draws lines along the two upper and two lower fractals.
but then what to do ?
you must first identify that it is a diverging triangle and then take action.
You can try to identify it by using an indicator that draws lines along the two upper and two lower fractals.
but then what to do?