A possibility of a price to rebound from a support or resistance line as a result of impulse price movement is very high. This fact is the core of the strategy. At the right moment, the robot places a pending order expecting the breakdown in the opposite price direction, and if the price returns, in most cases this makes a profit, but if does not return, then the pending order is simply removed without any financial loss.
This strategy is universal and suitable for almost all major pairs, but it is recommended to use only EURUSD because of its lowest spread. Instant order execution and stable server connection are required. If your broker offers excellent order execution, you can try to run the robot on other low-spread currency pairs.
The strategy works since 2008. Before this time the strategy was not consistent with market conditions.
- The EA basically trades during news time.
- No optimization needed, automatic settings.
- Works in turbo mode to provide high-speed operation.
- It uses protective stop orders at all times.
- It is mainly based on the accuracy of signals. This allows you to set stop orders fairly close to the price and minimize potential losses while profits are not limited, as the take profit order moves away from the price and the stop order follows the price.
- Magic - EA's stamp (identifier)
- ECN_Mode - enable it if your broker does not allow to place stop orders together with the order.
- MaxSpread - maximum allowed spread
- StopLoss - distance to a stop order in points
- TakeProfit - distance to the profit order in points
- TrailingStart - distance from an order, from which stop order trailing is enabled
- Commission - your broker's commission per trade
- MoneyManagement - automated money management
- Risk - risk for the automated money management
- Lotsize - lot size if MoneyManagement = false
- MaxLotsize - maximum allowed lot
- Slippage - allowed slippage between a requested price and an order execution one
- UseTime - work at a certain time
- BeginTime - EA operation start time (if UseTime = true)
- EndTime - EA operation end time (if UseTime = true)
- Instant order execution - ECN
- Trouble-free connection to the server - VPS
- Chart period - M1