Reply To: Description of Price Action Engulfing Candles Strategy

Forums Strategies and Expert Advisors Price Action Engulfing Candles EA Description of Price Action Engulfing Candles Strategy Reply To: Description of Price Action Engulfing Candles Strategy

#4538
Dominik
Administrator

@sunny wrote:

It would be nice if backtest with at least 15-20 points spread, as it is what most broker has now.

Also I don’t think it is a good idea to use M5 on price action strategy, it’s because the price can be too random and the support and resistance is not strong. Also the “spread effect” on lower timeframe would kill the profit. On higher timeframe spread doesn’t effect the performance much.

I will be optimizing for H1 on most of the pairs and will post it here. But since I am new to this EA, I need to understand what the settings do, so that i can optimize for H1. Because i am a swing trader, i like bigger profit for each trade.

Sir Admin thank you for your great EA that is really profitable!!! Thank you!

Hi sunny!

You’re right about spread. Old settings with parameters for beta versions of EA was made with very small spread, but now for new versions of EA only settings for EURUSD are optimized and published and spread is set to 5, because it’s the closest value to the real value. For example, my both brokers have spread for EURUSD most of the time = approx. 1-3 points and commision is equal to approx. 4 points. For protection of future spreads, I can optimize another version of parameters for another version of EA on higher spread for EURUSD. Of course, for another currency pairs spread taken to optimization will be also higher, close to reality.

Regarding the second issue about which you write. I started to optimize currency pairs on the M5 timeframe, because it gave the best results. It would be great to optimize strategy on higher timeframes, but till today I just haven’t found time to do it yet. Another thing is that maybe it can be needed to modify the strategy to trade on higher TFs. I’m willing to do it and each day I’m improving this EA, so if anyone has any constructive comment, which can cause increase of the effectiveness of the strategy – just let me know. I’m on Skype each day :)

Regards and good luck!