Cable Big Trend Catcher
- Experts
- Version: 1.0
1. Make sure you trade only with GBP/USD on an 1h chart as this model is built specifically for the hourly Cable trading.
2. If you are backtesting the EA during weekends, make sure to specify a reasonable spread (such as 30 or 50) instead of using current spread because the market is not trading and the current spread may be some awkward number. During weekdays, feel free to use current spread as it is the correct current spread value.
3. If you want to have an even more stable-performing EA, check out the sister product https://www.mql5.com/en/market/product/50444
Overview
This EA aims at forecasting/detecting big trends of the GBP/USD (Cable) pair on an 1h basis. It is based on an AI bot built in Python that learns to detect trend patterns such as "rectangles", "double-tops (bottoms)", etc. It learns and acts just like a trader, a very intelligent, fast-learning and experienced trader.
If you would like to have an EA that gives you instant profits or a continuous inflow of money immediately (at the risk of losing a large amount of money at any time), use a scalping EA because they typically have very high accuracy (percent of profitable trades), something like 99%. However, you'll never know when the 1% chance of loss will happen (and it will happen for sure), in which case you may lose every penny you have earned, if not every penny you have in your account. That's why so many EA creators only include 5-10 years of backtest results, because their EAs won't survive some periods in the longer run.
This EA is very unlikely to wipe you out at any times. In fact, for a backtest period of 20 years, the maximum drawdown is just over 10%. Compared with a typical long-run EA with a common maximum drawdown of 30-60%, this EA has a much lower risk. Another advantage of this EA is that you may increase the lot size (trade size per trade) without sacrificing too much safety. The table below shows that with the lot size doubled, the maximum drawdown increases only by a small amount.
| Initial Balance (GBP) | Leverage | Spread | Lot size | Trading period | Total profit (GBP) | Annualised return (%) | Maximum drawdown (%) |
|---|---|---|---|---|---|---|---|
| 10000 | 1:1 | 30 | 0.5 | 1 May 2000 - 30 Apr 2020 | 46218.31 | 23.11 | 11.91 |
| 10000 | 1:1 | 30 | 1.0 | 1 May 2000 - 30 Apr 2020 | 92436.79 | 46.22 | 13.14 |
| 10000 | 1:1 | 30 | 2.0 | 1 May 2000 - 30 Apr 2020 | 184873.43 | 92.44 | 13.85 |
Backtest
This EA is very simple to backtest and live trade. There is only one input variable, the lot size. For most of the EAs I have seen, both profit and maximum drawdown increases in proportion to the lot size. For this EA, only profit increases in proportion to the lot size. Maximum drawdown increases much slower. So it is of your best interest to adjust the lot size based on your initial balance and risk tolerance. This rule of reasonable lot size selection also applies to live trading. See https://www.youtube.com/watch?v=nobHU270a1o
Live trading
In order to live trade, it is recommended that you use a virtual server because this EA may open/close orders 24 hours a day during a trading day. Otherwise you'll have to keep your computer on all day and constantly worry about internet connection problems. For details on how to rent a virtual server, check the following YouTube video created by MetaQuotes Official
https://www.youtube.com/watch?v=yd3ar2y0pCo&list=PLltlMLQ7OLeKRRhrpy-pZ6REWYUf6W3SV&index=1
It is also highly recommended that you try this EA on a demo account before moving to a real one.
Important notice
Every currency has its own distinct pattern for different timeframes and the AI which this EA is based on learned to trade with GBP/USD with 1h timeframe. In many of the top investment banks and trading companies, there are traders who only focus on one or two currencies on a narrow range of timeframes. This enables them to learn more thoroughly about the pair and more expertise will be gained from time to time.
More EAs on other currency pairs will come in the near future.
Disclaimer
This EA is recommended based on its past performance. It may give you evidence of potential good performance in the future but there is no guarantee of that. There never will be (for any EA, I believe). Therefore the creator of this EA does not hold any responsibility for losses (or profits) as a result of implementing this EA.
Hello! My real trading account on IC markets has a max leverage of 30. Using your EA do you recommend making changes? Thanks.