Gold Band Walk Adx Trend Following
- Experts
- Version: 1.10
- Activations: 5
Overview
This EA is a trend-following system built specifically to capture "band walk" moves — periods when gold (XAUUSD) trends strongly enough that price rides along the outer Bollinger Band. Entries are filtered by ADX to confirm trend strength, following a Bollinger Band squeeze (contraction) and subsequent expansion.
This EA is not designed to chase a high win rate. The win rate is approximately 29%, but the average win is roughly 3.4x the average loss, resulting in a positive expectancy overall. It follows a "cut losses quickly, let winners run" approach typical of trend-following systems.
Logic
- Detects Bollinger Band width contraction (squeeze)
- Confirms trend strength via ADX (above threshold and rising)
- Checks whether recent closes have stayed consistently outside the band (band walk)
- Enters at market once all conditions align
- Exits on a middle-band cross, or when the band re-contracts (re-squeeze)
- Initial stop-loss distance is set automatically based on ATR (Average True Range)
This EA is designed for use on the 1-minute (M1) timeframe. The default Bollinger Band period is set to 100, which approximates a 5-minute Bollinger Band when viewed from M1 data. If used on other timeframes, this period should be re-adjusted accordingly.
Backtest Results (Reference — commission included)
| Metric | Value |
|---|---|
| Test period | Jan 2020 – Sep 2026 (~6.7 years) |
| Symbol | XAUUSD |
| Timeframe | M1 (BB period 100 approximates 5-min BB) |
| Total trades | 247 |
| Win rate | 28.74% |
| Profit factor | 1.22 |
| Lots | 0.1 |
| Expected payoff | ~$5.97 per trade |
| Average win / Average loss | ~$114.9 / ~-$33.8 |
| Max drawdown (balance) | ~6.19% |
| Max drawdown (equity) | ~8.20% |
| Max consecutive losses | 9 |
| History quality | Includes 40% real ticks |
| Commission | Included in results |
Recommended Setup
- Symbol: XAUUSD (Gold)
- Timeframe: M1 (1-minute) recommended — the default BB period (100) is calibrated to approximate 5-minute trend conditions; using a different timeframe requires re-tuning this parameter
- Recommended capital: In addition to the observed max drawdown (~8%), maintain a buffer for unexpected volatility spikes
- Lot sizing: Fixed lot only (no balance-based auto-scaling)
- Commission structure: Results above reflect a commission-inclusive account. Results may differ on commission-free (spread-only) account types
Important Risk Disclosures
- Past backtest results do not guarantee future performance
- Backtest history quality is not 100% real ticks; results may vary depending on test conditions
- Always validate on a demo account before live trading
- This logic may underperform or stop working during ranging markets or sudden volatility events
- Commission structures vary by broker and account type — please verify your own account's commission terms before use
- The developer assumes no responsibility for any losses incurred through use of this EA
