Settings for EA's in Trending Markets

 
So from what i've been finding out about EA's in trending markets, they don't tend to do very well.
The most egregious example i found was buying all the way down an extreme selloff that doesn't recover

Are there any settings that can be set for EA's like <Deleted> to make it workable in a trending environment as well as a ranging one?
Or can EA's only really be set one way or the other?
I'm just getting into them and am trying to find my way through them.
 

That is right they generate lots of false signals unless you use good filters.

No simple settings in your EA will solve this problem but good filters will reduce false signals.

Option 1: Find research signal with better algos.

Option 2: Be very good in some of these programming, algorithms, some math and data science.

 
lil_spec: So from what i've been finding out about EA's in trending markets, they don't tend to do very well. The most egregious example i found was buying all the way down an extreme selloff that doesn't recover. Are there any settings that can be set for EA's like <Deleted> to make it workable in a trending environment as well as a ranging one? Or can EA's only really be set one way or the other? I'm just getting into them and am trying to find my way through them.

It is incorrect to generalise the idea that trend based strategies or EAs are less effective. It depends on the symbol and market conditions which change over time.

There is no generalised optimal parameters. Each strategy or EA has its own specific parameter needs.

Yes, there are strategies and/or EAs that are designed for both trending and ranging markets, but most strategies are designed for only one of those modes.

 
Jan4654 #:

That is right they generate lots of false signals unless you use good filters.

No simple settings in your EA will solve this problem but good filters will reduce false signals.


filters are good but you have to be careful with use them, many filters can overfit strategy, in results, strategy will not work on real market. Regards Greg

 
hello, in trending markets ADX works very well 
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