Thread: Blessing 2
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Old 06-15-2008, 06:32 AM
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davidke20 davidke20 is offline
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Quote:
Originally Posted by prasxz View Post
The EA without SL is too risky , connection problem is the main cause of big drawdown

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Its a cost averaging EA. When connection is down, no new order will be place; no blow up will happen. When connection is back, new order with bigger lot size will be fireaway to cope up with the market again. When total profit is reached, all trades will be close.

Cost averaging EA can never place stop loss, just like the way it is. It uses the optimist behaviour as I can never loss forever on 1 side trading. So as this new fifthelement belssing. And it has 2 side of cost averaging, forever buying and forever selling in the system. When cost averaged, it will close off everything.

Main concern of drawdown should be the grid size(interval between double down positions). When market is violant, we should have higher interval between the previous and current positions. When market is in tight range, the EA should know when to close off the profitable trade, so it wont lose too much swap during ranging markets.

Regards

David
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