MADScalpingSMA is an Expert Advisor for MetaTrader terminal that allows you to deploy a simple scalping strategy.
The EA uses crossovers of Simple Moving Averages to determine a BUY or SELL and to stop the trades.
When the fast moving average crosses above the slow moving average, we will consider the trend is going up.
When the fast moving average crosses below the slow moving average, we will consider the trend is going down.
For "Trend following strategy" when there is an UPTREND and current price is above the highest open position, the EA will BUY. If there is a DOWNTREND and current price is below the lowest open position then the EA will SELL.
For "Counter trend strategy" when there is a DOWNTREND and current price is below the lowest open position, the EA will BUY. If there is an UPTREND and current price is above the highest open position then the EA will SELL.
The EA will stop the trades when a crossover with profits occurs.
For every deal, lots will be increased by a unit. If "fibo" is enabled the lots rate will be increased following the Fibonacci sequence.
Normal trades: 0.01/0.02/0.03/0.04/0.05/0.06/0.07
Fibo trades: 0.01/0.02/0.03/0.05/0.08/0.13/0.21
IMPORTANT
This strategy doesn't use take-profit or stop-loss for risk management so the expert advisor NEEDS TO BE RUNNING ALL THE TIME. If you close the Expert when trades are running you will have to introduce those parameters by hand.
*** ATTENTION VERY IMPORTANT!!!
THIS STRATEGY CAN HAVE HUGE LOSSES IN HOURS if the right circumstances happen.
You can think that it is very unlikely but it will happen at some point, unless you have an account big enough to support and hold the margins till the price move to your advantage (around $200K might be ok). The EA is trading in a 1 minute chart so all kind of different situations will probably occur.
This is a strategy where big risk can get a big reward. I thought about this strategy because I have small accounts and I wanted something that can make them grow fast (before I blow the account). My idea is using the small account to feed other accounts that are using less risky strategies.
Small accounts tend to exhaust the margins very quickly though. Big accounts can handle it much better.
Notes:
- Backtesting is done in MT5 with data fed from Tickstory
- EA might work with other timeframes. I haven't tested it though.
Notes from the author:
I'm not happy about what I've seen over here. Too much secrecy and trickery to share the strategies or to sell products. Promises of big profits with low risk. I'm not a believer so it is difficult for me to trust blindly the word of someone I don't know. It is just not my thing.
In my case, I have decided to follow a policy of transparency so the potential buyers will know what they are getting. I'll try my best to explain what the software does and the strategy developed. If you buy this EA and you like it, I will send you the source code to prove that EA behaves correctly. You can use it for your own programming or to improve it. I'm not a professional developer so no fancy stuff in my code. I think it is simple and easy readable.
I don't want to deceive anyone with my EAs. My code is not going to make you rich overnight. Otherwise I wouldn't need to sell it, would I?
EAs worked well in backtests but that is no guarantee of a good performance in the future. What I can tell you is these strategies are the ones I use in my real accounts and I hope I can get benefits in a long term. Some strategies are more risky than others. Diversifying is key.
Notes about MADScalpingSMA:
No lies, this strategy is not for everyone. To consider this EA you need to have steel nerves and understand that you can have enormous loses. This EA is the closest thing to pure gambling I own. The concept is very simple, we buy or sell with the trend or against the trend but we do it so frequently that the odds of the market moving in bad direction are high. No stop-loss or take-profit can save the day. This is the only strategy I have that take my sleep. For the account of the signal, I'll withdraw money in a regular basis, probably once a week.
For this EA I wish I had a big leverage. Flexibility of leverage helps a lot with an aggressive strategy. Also with a big account things are very different.
