ORP Dip Expert

ORP Dip Expert - Own the Risk Premium Dip-Buying Expert Advisor

Strategy Overview

ORP DipEA implements a disciplined "buy the dip, trim the euphoria" strategy designed for traders who want to systematically capitalize on temporary pullbacks within established trends. The EA is long-biased by default but includes optional short-selling capability for experienced traders.

Core Philosophy

The strategy is built on a simple premise: buy when fear creates opportunity, sell when greed creates risk. By entering during temporary weakness in uptrends and taking partial profits during overextension, the EA aims to capture the "risk premium" that markets pay to patient, systematic traders.

Key Features

✅ Trend-Following Foundation

• Dual Moving Average Filter - Uses both slow (trend) and fast (pullback reference) moving averages to ensure trades align with market direction
• Automatic Trend Detection - Only buys in confirmed uptrends, only shorts (if enabled) in confirmed downtrends
• No Counter-Trend Trades - Avoids the most common cause of EA failure

✅ ATR-Based Adaptive System

All key parameters scale with market volatility using the Average True Range (ATR):

• Entry Triggers - Dip levels automatically adjust to current volatility
• Stop Losses - Wider in volatile markets, tighter in calm conditions
• Position Spacing - Prevents clustering during ranging periods
• Trailing Stops - Lock in profits proportional to market movement

✅ Intelligent Position Management

• Pyramid Scaling - Add to winning positions during extended dips (configurable)
• Smart Spacing - Additional entries only when price moves sufficient distance
• Position Limits - Maximum concurrent positions prevents overexposure
• Independent Risk Control - Each entry has its own stop loss

✅ RSI Confirmation Filter

• Optional Momentum Check - Requires RSI oversold condition for entries
• Prevents Knife-Catching - Avoids entries during strong momentum against you
• Flexible Configuration - Can be disabled for pure price-action trading

✅ Euphoria Trimming System

The EA's unique profit-taking logic identifies overextended market conditions:

• RSI Overbought Detection - Recognizes when momentum becomes excessive
• Price Extension Analysis - Trims when price stretches too far from moving average
• Partial Position Closing - Takes profits while maintaining trend exposure
• Cooldown Period - Prevents over-trimming and allows trends to develop

✅ Professional Risk Management

• Percentage-Based Position Sizing - Automatically scales with account growth
• Fixed Lot Alternative - For traders preferring consistent position sizes
• Dynamic Stop Losses - ATR-based stops adapt to changing volatility
• Optional Take Profit Targets - Set-and-forget profit levels
• Trailing Stop System - Protects open profits as trends develop
• Spread Filter - Prevents trading during unfavorable execution conditions

Input Parameters

General Settings

Parameter	Default	Description
MagicNumber	850123	Unique identifier for this EA's trades
AllowShorts	false	Enable short selling in downtrends (false = long-only)

Risk & Position Sizing

Parameter	Default	Description
UseRiskPercent	true	true = risk % per trade, false = fixed lots
RiskPerTradePercent	0.50%	Percentage of equity risked per new entry
FixedLots	0.10	Lot size when UseRiskPercent is false

Trend & Entry Parameters

Parameter	Default	Description
SlowMAPeriod	200	Long-term trend filter MA period (EMA)
FastMAPeriod	20	Short-term pullback reference MA period (EMA)
ATRPeriod	14	Period for ATR volatility calculation
DipATRMultiple	1.3	Entry trigger: price below FastMA minus (ATR × this value)
AddStepATR	1.0	Minimum ATR distance between additional entries
RSIPeriod	14	RSI calculation period
RSIFearLevel	35	RSI must be ≤ this for entries (0 or negative disables)

Stop Loss & Take Profit

Parameter	Default	Description
StopATRMultiple	2.5	Initial stop loss distance = ATR × this value
TPAtrMultiple	3.0	Take profit target = ATR × this value (0 disables)
TrailATRMultiple	2.0	Trailing stop distance = ATR × this value (0 disables)

Euphoria Trimming

Parameter	Default	Description
RSITrimLevel	70	Trim positions when RSI ≥ this level
EuphoriaATRMultiple	1.5	Trim when price ≥ FastMA + (ATR × this value)
TrimFraction	0.50	Percentage of total position to close on trim (0.50 = 50%)
TrimCooldownBars	10	Minimum bars to wait between trim operations

Safety & Execution

Parameter	Default	Description
MaxPositions	3	Maximum concurrent entries per direction
MaxSpreadPoints	30	Skip trading if spread exceeds this (in points)
TF	H1	Trading timeframe for signal generation

Advantages

✓ No Martingale or Grid Trading

Scales into winning positions based on favorable conditions, not averaging down losses.

✓ Adapts to Market Volatility

ATR-based logic ensures the EA performs in both calm and volatile markets without manual adjustment.

✓ Systematic Profit Protection

Euphoria trimming captures gains during overextension while maintaining exposure to continued trends.

✓ Fully Transparent Logic

Rule-based system with no black-box algorithms or neural networks. You understand exactly what it does.

✓ Flexible Configuration

Extensive parameters allow customization from conservative to aggressive trading styles.

✓ Multi-Timeframe Compatible

Works on any timeframe from M15 to Daily, allowing you to match your trading preference.

✓ Capital Preservation Focus

Multiple safety mechanisms (spread filter, position limits, ATR stops) prioritize protecting your account.

✓ Set-and-Forget Automation

Fully automated execution removes emotional decision-making and allows you to step away from charts.

Recommended Usage

Ideal Instruments

• Major forex pairs (EURUSD, GBPUSD, USDJPY, etc.)
• Forex crosses with reasonable spreads
• Major indices (US30, NAS100, SPX500, etc.)
• Gold and silver (when trend is present)

Best Timeframes

• H1 (recommended) - Balance between signal quality and trade frequency
• H4 - Fewer trades, larger moves, lower monitoring requirement
• M30 - More active trading, requires closer monitoring
• Daily - Swing trading approach, very low maintenance

Account Requirements

• Minimum $500 for micro accounts (with conservative settings)
• $2000+ recommended for standard trading
• ECN/low-spread broker preferred for optimal performance

Optimization Tips

• Trending markets - Loosen DipATRMultiple (1.5-2.0), increase MaxPositions
• Ranging markets - Tighten DipATRMultiple (1.0-1.3), reduce MaxPositions
• High volatility - Reduce RiskPerTradePercent, increase StopATRMultiple
• Low volatility - Can increase RiskPerTradePercent slightly

What Makes This EA Different

Most dip-buying EAs fail because they:

• Use fixed pip values that break when volatility changes
• Lack intelligent profit-taking and give back gains
• Don't filter for trend direction
• Scale into losing positions

ORP DipEA addresses all these issues:

• Everything scales with ATR volatility
• Proprietary euphoria detection takes profits systematically
• Strict trend filters prevent counter-trend disasters
• Only adds to positions that are working

Important Notes

⚠️ Risk Disclaimer

All trading involves substantial risk of loss. This EA is a tool to execute a specific strategy - it cannot guarantee profits. Market conditions change, and past performance does not indicate future results.

? Backtesting Recommended

Always backtest with quality tick data on your specific broker and instruments before live trading. Results vary by broker spread, execution quality, and market conditions.

? Demo Testing Required

Run on a demo account for at least 2 weeks to understand the EA's behavior and verify settings before risking real capital.

? VPS Recommended

For best results, run the EA on a VPS (Virtual Private Server) to ensure 24/7 uptime and avoid missed opportunities due to computer restarts or internet issues.

Support & Updates

• Regular updates to maintain compatibility with MT4 platform changes
• Responsive support for setup and configuration questions
• Active monitoring of user feedback for improvements

Copyright 2025, William Mwangi Wamuyu
MQL5 Profile: https://www.mql5.com/en/users/qzn86hjbvc

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