Fairly compare 2 different EAs. How about 1000 different EAs? - page 3

[Oleksandr Medviediev]

Dr Matthias Hammelsbeck #:
I'm wondering if somebody succeeded in developing a robust, stable EA yielding consistent profits ( and that is possible in my opinion): why should he sell this EA for a few dollars??? He keeps it for himself and makes money...

Fair question. The short answer is: by the time "somebody succeeded in developing a robust, stable EA yielding consistent profits" he has usually exhausted all his personal resources - including time, energy and often lifetime savings.

Selling EA becomes a way to:
 -- recover that investment
 -- diversify and scale beyond the limits of own trading capital.

[Dr Matthias Hammelsbeck]

Oleksandr Medviediev #:

Fair question. The short answer is: by the time "somebody succeeded in developing a robust, stable EA yielding consistent profits" he has usually exhausted all his personal resources - including time, energy and often lifetime savings.

Selling EA becomes a way to:
 -- recover that investment
 -- diversify and scale beyond the limits of own trading capital.

Thank you for clarification. That is plausible 

[Oleksandr Medviediev]

Fabio Cavalloni #:

Let's make an example with an EA that make 100% in a year (which is a lot in CFD world and more than 90% of market EA are not able to make it).

If you start with 5k of balance, which is not a little amount, after 3 years of solid results you will have 40k: you didn't become rich.

In trading, you cannot make money starting from 0 or low balances: you need money to make money.

You put it better than I ever could - experience speaks for itself.

That “need money to make money” reality is so often overlooked. Thanks for laying it out so clearly.

[Victor Paul Hamilton]

Nice Breakdown and yes the whole EA business needs a shake up but I doubt it will happen . As far as back tests most are over optimized by design and verified results from so called verify sites are manipulated and down right lies . What we need is realistic pricing not one time smash and grab coders for profit . What other business model brings out a product at the highest price possible ?  They know they will be found out within x amount of time  so they dash for cash ,it's all backwards in this realm . Too many coders for profit and not real traders making products for other traders . I wanted to change that but I am spitting into the wind . 

[Lorentzos Roussos]

Dr Matthias Hammelsbeck #:
I'm wondering if somebody succeeded in developing a robust, stable EA yielding consistent profits ( and that is possible in my opinion): why should he sell this EA for a few dollars??? He keeps it for himself and makes money...

because he/she is flat broke 

I got a different question.

if somebody succeeded in developing a robust, stable EA yielding consistent profits , will he risk seling it ?

[Oleksandr Medviediev]

Victor Paul Hamilton #:
I wanted to change that but I am spitting into the wind . 

I don’t think you’re spitting into the wind. We all love MT5, but there’s plenty of room for long-overdue change.

MQ will start moving faster once real competition begins nipping at their heels.

[Ryan L Johnson]

Lorentzos Roussos #:
if somebody succeeded in developing a robust, stable EA yielding consistent profits , will he risk seling it ?

This is a valid point. One such EA that I developed is only available as a signal because any EA, double encrypted or not, can be memory dumped by a "professional" hacker.

On the flip side, I coded an EA for a commercial trader based his underlying strategy but he couldn't come up with enough funds to use it. I decided to make a lifetime license and ex5 download available for this one because I don't foresee many traders having the 500,000 USD required to run it.

[Oleksandr Medviediev]

Lorentzos Roussos #:
because he/she is flat broke

I have a sneaking suspicion… most of us here on the Forum aren’t exactly trading millions.

I’m flat broke. Anyone else care to raise a hand?

[Ryan L Johnson]

Oleksandr Medviediev #:

I have a sneaking suspicion… most of us here on the Forum aren’t exactly trading millions.

I’m flat broke. Anyone else care to raise a hand?

OMG. Sorry to hear that.

I recently had to bail out a family member who made the mother of all tax errors. Not exactly flat broke, but that certainly hit my LLC's trading account hard.🤕

[Vladimir]

The idea of ranking different EAs based on some robust profitability metrics is fantastic and totally should be implemented. But let's be real, why would anyone think these EAs are any good? I mean, seriously, why would someone sell an EA that supposedly brings in over 50% profit every year? Let's say a genius but broke trader creates this 'Holy Grail' EA and needs cash for the initial deposit to start multiplying their wealth. Would selling this golden goose really be their brightest idea to raise money?