I have seen lately that many people have become interested in commercial grid trading systems, such as robominer. The version right now works on four digit brokers only. The EA will open a trade on each grid line towards the median price but will only open grid system forex percuma trade per grid line until a trade on a separate grid line is opened.
1 is touched and then grid line x is touched again another trade is opened. However, this strategy must be used with great care. CHF as well as a picture of the trades made. Remember that this EA is NOT meant to be traded in a “set and forget way” but it is more meant to be used as a trading tool to help a trader gather profit from a range.
NZD long term ranges, as robominer does, although this is still something that should be done with great care. Again, I provide this as a tool for traders who want to exploit ranges. Thank you for this post and grid EA. Our team are currently working on our own grid based EA. If it is so then in 2002 – 2003 EA “knows” that positions should be long. If not, then I do not know where EA in 2002 got value 1.
Some positions are opened and stay for 1 or even 2 years long. What would be a swap for this period of time? Does EA deal with this somehow? Daniel, you mentioned about adding ECN support for EA. Could you please explain what do you mean?
The EA knows the median price since the start of the backtesting period in 2000 and therefore the EA is designed with the benefit of hindsight. It is the same for the robominer system, the EA has the median price preprogrammed so it “knew” it had to trade long or short before the range actually established itself in late 2007. Of course, if positions are open during 1 or 2 years with negative swap this will strongly affect the profits with some positions even closing with loses in the long term. I would advice to only trade this on swap free accounts in which such long holding of positions won’t matter. Regarding ECN support, you must remember that ECN brokers do not accept the submission of the takeprofit with the actual order but orders need to be modified after being placed to include the TP. ECN support can be effectively incorporated by order modifications after placement or by using an internal mechanism that handles the TP.
The first is the safest choice. I will however only do this if there is enough interest for this trading tool. Again, I do NOT support grid trading as a “set and forget” trading methodology. Grid trading seriously exposes people’s equity and must be done with great care in order to avoid excessive draw downs with possible account wipeouts. Such risks are taken with every grid system, including the robominer and other commercial experts.
I hope this answers all your questions. Grid trading is very interesting approach, it should be very “smart” to profit heavily on trending moves and not to lose much on sideway market. I am thinking to find most appropriate method to define different state of the market: trend, flat and pull back in time of trend. Each mode triggers different behavior of the Grid EA. What you want to do is very hard.