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Quiz
Miembro desde Apr 06, 2018
posts 242
Oct 31, 2019 at 08:09
togr posted:
Question #6:
If your backtesting results are like the one attached,
can you expect to see the same trading it on real account?
The result on a real account depends on these parameters
1. If your strategy is over-fitted then the real account result will different.
2. If your EA pips expectancy is less then 5pips then commission and slippage will eat your profit.
Your EA is backtested on a 1min chart than most likely your pips expectancy should be less than 5pips. If your system is not over-fitted then I think there will be a drop of at least 30-40% on performance per trade basis.
The market will trade through it’s path of least resistance .
Miembro desde Feb 22, 2011
posts 4573
Oct 31, 2019 at 11:20
togr posted:
Question #6:
If your backtesting results are like the one attached,
can you expect to see the same trading it on real account?
Question #6: answer
BT results are never the same as trading real accounts,
there are different reasons for that
1. Platform
- MT4 backtesting is rather useless unless you buy plugin to get 99.9% quality BT. Even such are not 100% reliable as it downloads and use dukascopy data, which may differ on your broker.
- MT5 BT is much better, if you perform tick BT results are very close. But always there might be issues with broker or server or... The cons is it is unbelivably slow even on my 64 GB RAM, 8 core server
- cTrader backtesting - it is very accurate, though platform itself is unstable and freezing often, during backtesting AND trading.
2. Execution - be it sllipage, spread increse, offquotes or other issues
Some robust strategies (EAs) are able to deal with slightly different conditons, some simply does not perform well on real.
Miembro desde Aug 27, 2017
posts 875
Oct 31, 2019 at 15:10
togr posted:togr posted:
Question #6:
If your backtesting results are like the one attached,
can you expect to see the same trading it on real account?
Question #6: answer
BT results are never the same as trading real accounts,
there are different reasons for that
1. Platform
- MT4 backtesting is rather useless unless you buy plugin to get 99.9% quality BT. Even such are not 100% reliable as it downloads and use dukascopy data, which may differ on your broker.
- MT5 BT is much better, if you perform tick BT results are very close. But always there might be issues with broker or server or... The cons is it is unbelivably slow even on my 64 GB RAM, 8 core server
- cTrader backtesting - it is very accurate, though platform itself is unstable and freezing often, during backtesting AND trading.
2. Execution - be it sllipage, spread increse, offquotes or other issues
Some robust strategies (EAs) are able to deal with slightly different conditons, some simply does not perform well on real.
Nice & thanks buddy for your long-details answer! Really excited to see your quiz number 7.
keeping patience.......
Oct 31, 2019 at 17:52
togr posted:
Question #1:
There is a system trading just one pair, where you see negative pips yet it is profitable. What kind of system is it? The answer is martingale. But there is another system, do you try to find out?
Honestly, I didn't read the whole thread. It's interesting. I will do it whenever I find some free time.
Not sure if the question is answered,
My answer, it is Averaging Down system.
Will be back soon :)
... oshaban ... skype: oshaban27 ...
Miembro desde Feb 22, 2011
posts 4573
Nov 14, 2019 at 12:19
Question #7:
MT4 account
leverage 1:500
balance $1,000
A. for trade 0.01 lot EURUSD what would be the margin used?
B. for trade 0.01 lot USDCAD what would be the margin used?
MT4 account
leverage 1:500
balance $1,000
A. for trade 0.01 lot EURUSD what would be the margin used?
B. for trade 0.01 lot USDCAD what would be the margin used?
Miembro desde Feb 22, 2011
posts 4573
Nov 20, 2019 at 10:11
togr posted:
Question #7:
MT4 account
leverage 1:500
balance $1,000
A. for trade 0.01 lot EURUSD what would be the margin used?
B. for trade 0.01 lot USDCAD what would be the margin used?
Nobody knows? That should be very basic knowledge of every forex trader...
Miembro desde Sep 17, 2019
posts 8
Nov 20, 2019 at 11:13
I would use a online calculator to work that out. The margin will also change depending on the currency price
Miembro desde Feb 22, 2011
posts 4573
Nov 20, 2019 at 12:38
lazilybento posted:
I would use a online calculator to work that out. The margin will also change depending on the currency price
That actually does not answer the question :)
Miembro desde Feb 22, 2011
posts 4573
Nov 20, 2019 at 14:40
togr posted:togr posted:
Question #7:
MT4 account
leverage 1:500
balance $1,000
A. for trade 0.01 lot EURUSD what would be the margin used?
B. for trade 0.01 lot USDCAD what would be the margin used?
Nobody knows? That should be very basic knowledge of every forex trader...
I am really suprised that during like week nobody was able to answer that.
It is really basic understanding of Forex trading principles.
Miembro desde Feb 22, 2011
posts 4573
Nov 22, 2019 at 11:22
OK then.
Closing the quiz, or does somebody want to know the answer?
Closing the quiz, or does somebody want to know the answer?
Miembro desde Feb 22, 2011
posts 4573
Jan 03, 2020 at 09:47
togr posted:
OK then.
Closing the quiz, or does somebody want to know the answer?
So the answer
A. 0.01*100000/500 = 2 EUR * EURUSD rate = amount in USD
B. 0.01*100000/500 = 2 USD
Miembro desde Feb 22, 2011
posts 4573
Mar 06, 2020 at 12:09
Question #8: Martingale or not.
Imagine you see a profitable system here on mfb, where you do not see the actual trades.
What you see is negative pips and positive profit.
Can you say for sure it is martingale or could it be system with with fixed lot size?
Imagine you see a profitable system here on mfb, where you do not see the actual trades.
What you see is negative pips and positive profit.
Can you say for sure it is martingale or could it be system with with fixed lot size?
Miembro desde Feb 22, 2011
posts 4573
Mar 06, 2020 at 14:04
Ralf4654747 posted:AniLorak posted:Hardolian posted:
If you know the answer what stops you to post it here anyway ? Do you really know something we do not know, then please make it for sure. By the way another system means what here ? I do not understand you completely and totally anyway. Keep posting more questions.
Maybe; he doesn’t know the answer; just wanted to know! By the way, I have no idea on this type of tool!
GUYS
it seems you do not understand principle of the QUIZ
Miembro desde Sep 25, 2019
posts 9
Mar 09, 2020 at 12:32
You cannot say for sure it is martingale. Profit could using a carry trade strategy
Miembro desde Feb 22, 2011
posts 4573
Mar 09, 2020 at 12:38
TheGreatRecycler posted:
You cannot say for sure it is martingale. Profit could using a carry trade strategy
If you mean swap you are right
But there is also another solution.
Miembro desde Feb 13, 2020
posts 21
Mar 12, 2020 at 14:32
togr posted:TheGreatRecycler posted:
You cannot say for sure it is martingale. Profit could using a carry trade strategy
If you mean swap you are right
But there is also another solution.
which is...?
Mar 13, 2020 at 11:03
If there was a huge jump in price of the assets traded then your example could be possible. Say price was 1:1 and trader use 0.1 Lot . The pip value was 1 USD per pip, so if the trader made 1 trade with 100 pips and they would make 100 USD profit / loss . But then price change to 1:10 and trader still use 0.1 Lot, if so the pip value would change to 10 USD per pip. So if the trader made 1 trade with only 90 pips, they would make 900 USD profit / loss. Hence, they could make an overall loss of -10 pips but would make a profit of +$800 USD
