As I stated earlier, maybe I should have chosen to trade less pairs, but for now, I'll just wait and see where it ends up.
Currently, my free margin is too small for the trendtrading part to start up, that won't begin until I've got at least 20'000 cents.
I've lowered the Risk and us the full history now as well, but trades opened before yesterday was using higher Risk and only 60 months of history, I'm assuming that's the main reason for the heavy drawdown...
We'll see in the future, if I just can keep my itching fingers off the settings and programming...😳
Gil, if you're still taking a look sometimes, I just summed my actual deposits to 4492 cents, the rest is welcome bonus, rebate and interest. Nice to be able to utilize bonuses to trade and get a profit that way around. Currently it means I'm up by more than 6% in Equity 😉.
What do you think about the drawdown, I know it's a lot when looking at a glance, but when you realize it's trading 28 symbols, does that mean the average DD is 1-2% per symbol, or is that a wrong way to see things?
As an example, the historical range for AUDUSD is 4514 pips (history from 1989.06.01), I'm trading the grid from the centerline and out. Let's say the price is exactly at the centerline (0.7749) and my EA has opened a long order, suddenly, Reuter's states that a nuclear bomb has droppend on Australia and the Aussie falls like a bowlingball from the 50th floor (Sometimes I like to exaggerate, can't help it😄), causing a daily fall to the historical low. Because of my filter no new long orders are opened along the way, so I only have this minimum-lot order open with a loss of 2757 pips loss. With my current centsaccount, that is a 275.70 cents loss equal to ~6% loss of Equity. The more orders I have open the worse the case is, but it's just an example, besides, on the other symbols involving the Aussie, som might benefit from the freefalling and I'll make profits on those (diversify). To take it a little further, the AUDUSD falls to 0!!!, My trade has lost 7749 pips, causing a staggering 774.90 cents loss, which means I've lost 16.15% of my Equity in one trade. The point is, Drawdown is OK, as long as it's a controlled drawdown, which I believe, mine is.
GridsForPips posted: It seems like it's found a steady level of 30-40% drawdown, so the first months won't bring in any profits. I expected this, but if it can get the 6% a month in the long run, I'm happy :-)
6% is great. Unless your drawdowns dip to like 50% or more of your account. Like I said above, it seems too risky to me. And, if you ever plan on leveraging this with investors, I would never allow something that deep just to get 6%....
To get 6%, DD acceptable would be 3 times that = 18% OR LESS consistently. The tough part is I believe you have to program your mind to get through the May 5th/6th's 2010 with a grid trader. Even though you will only lose such and such % on one currency, when they ALL trend very hard in the 'wrong' direction, you will be sucking wind, regardless of your instaforex bonus'!
The necessary requirement is that when you are hitting that type of day that you come out looking good at less than 50% drawdown. That would be my goal.....
As a result of them, Ill try to make backtests of all 28 symbols and merge them with Report Manager, just to give an idea of how far the rabbithole goes (especially around May, if I understand it correctly). I believe it'll take a few days, but I'll try to discipline myself enough to see it through.
In the meantime, Ill look more into JForex API, and see if I can figure out to make the exact same EA to work with Dukascopy, and use their historical tester to get a more precise result...
I tried the converter, but despite the adaptions I had to make just to compile the d... thing, it never took a trade anyway.
Hence, I have to work to figure out all the different obstacles, maybe by seeing how the converter interprets MQL4 to Java, and then have a second clean Java, where I put in the right commands one by one switching between the 2 programs and the API-documentation in my 1500+ lines program (man it's gonna take time...🙄)
Regarding backtests, I've just made on AUDUSD today, starting 01.01.2010 and ending 05.09.2010 which lasted from 08:18 to 12:51, roughly 4½ hours. 28 tests is gonna take a long time. Would you consider making a backtest with only M1 open-prices alright - I'll miss some trades, but it goes a lot faster.
For now, I'll fire up 12 month backtests of the symbols ending 05.09.2010, that should only take roughly 28 * 12 * ½hour = 168 hours 😲!!!
I'm seriously looking forward to JForex testing, haha
Nice to see the Yen moving fast in the right direction, Equity went from approx. 3800 to 4800 in a few hours and locked in some nice profits. The Equity% is now ~63%, if I can keep it above 50%, in exchange of 20% profits a month, which would mean net profits after 3-4 months I'm happy - I can wait 😄 years to get the big bucks (I'm only 35)
I know if I only get the 6% target a month it will take 12 months to solve the 50% drawdown (which with my own funds is acceptable too), but so far it seems the profits is somewhat higher (currently 30% a month 😀) which would yield net profits within 3 months. Something I'll advice future investors to notice and expect. Forex isn't about getting rich in a day, a week or a month, but years, and I sincerely hope I've hit the right combination to reach this goal.
By the way, Instaforex is now opening for real-accounts in MT5, as (I think) one of the first brokers in the world!
Just crappy I've got to learn another programming language (I'm getting behind schedule, I've not even looked at JForex API more yet... 😳)
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