We have been testing our new Automated Trader for 8 month from October 2020. The PPA based strategy stayed profitable. See the detailed report of our 8 month long GBPUSD live test.
Trade copier is the latest part of our flagship product – Smart Forex Tester Suite. We added it after recently conducted testing of the Automated trader.
Trade copier uses in live trading the market timing signals that are generated by our automated trader running on the TrueFX data feed.
The feed provided by TrueFX is unfiltered. You can have over 10K ticks an hour. And it’s of very high quality. Our strategies using this feed achieved very positive results.
However, retail traders can’t execute orders via TrueFX. This is why we decided to use the quality signals to be executed over the MT connector that we already have.
We have published 2 test reports on our winning day trading strategy that is included in our Automated Trader part of our Smart Forex Tester Suite.
In our first monthly test on EUR/USD and GBP/USD the baseline strategy was consistently profitable when run on the TrueFX live data feed.
In the second weekly test on GBP/USD the version1 of the baseline strategy made over 400 pips profit when the pair’s volatility was only 205 pips.
The screenshot below shows how the profit was accumulating on all the trading session from Tuesday London thru Friday NY.
Weekly profit over 400 pips on GBPUSD with volatility 200 pips
The strategy was active all the time. The pattern we see: gains during volatile UK trading (dashed vertical lines) and losing small in calm markets after the NY session.
The profit curve is very smooth – no big single losses. The longest losing streaks during Asian sessions resulted in only small absolute draw-down.
Total win ratio of 50.2% means that an average wins were substantial. If paused during the Asian trading, the strategy would deliver much higher win ratio.
Forex trading sessions timing can be tricky to follow. To help you navigate there, we added the real-time chart of the trading hours in our popular product – Smart Forex Tester.
To activate the chart, click on the $ button on the Toolbar which will open the Automated Trader window. Then switch to the Time tab.
The graph will show you the whether the Market is open or not, and the time left for the opening and closure. In addition, this information is provided for each of 6 major trading sessions in Asia, Europe and the USA.
The graph is updated in real-time and is available in free version,
Our Forex Data Manager tool* is developed to help you create a smaller test file from a monthly tick data file.
You load all tick data, browse it, select a needed fragment, and save it as a new file.
We are now finalizing the feature that will help create a whole test batch in one go.
This is convenient if you want to run tests only on certain trading sessions, or only during a specific time interval, now you can easily do that.
You only need to select the start/end times, and provide the file prefix – then the software will write a bunch of separate files for each session or time span.
Then you can use them as a test data batch to run you strategy on.
A long awaited feature of Optimizing Pivot Point Analyzer parameters is finally available – in the just published new release of our flagship product – Smart Forex Tester Suite.
Optimizing Pivot Point Analyzer parameters makes the detection of the market extremes more accurate, because now you can adjust the detector parameters to best fit the recent market price action.
A convenient way to get the data for the optimization is to save the latest ticks acquired in the Suite when you run it on real-time data feed. For that, go to the Real time tab and use the Save ticks button to store the ticks to a file.
Then on the Data tab, load this file and go to Optimizer tab. There select the ranges for the parameters, and the accuracy you want (number of iterations). Then click on the Optimize parameters button and the Optimizer window will open.
The upper table shows the results of the optimization, and you can also monitor the process on 2 inbuilt graphs. When the software completes the calculations, you can plot the graph for each set of parameters. For that, select a line in the table and click Plot selected button.
When you finished, click Close button. The Optimizer window closes but the software will copy the results into the table on the Optimization tab. There you can select the best parameter set and make your strategy use it by clicking the Apply parameters button.
For each price extreme, the optimizer calculates its quality. The algorithm evaluates the extent and speed of the price change after the signal.
Maximum quality corresponds to the situation when the price immediately goes in the direction opposite to the signal, e.g. decreases for a market top signal.
The Quality parameter in the result table is an average of all the extremes detected in the single test.
In the future versions, we may modify the the software to run this optimization in a rolling fashion on the background.
In addition this release will feature the redesigned Simulation GUI. Below is the prototype picture. Stay tuned and monitor your emails for the release email.
If you are not yet our subscriber, subscribe now – it’s free.
Day trading signals generated by Pivot Points Analyzer (PPA) in real-time help you enter the markets closely to its extremes. It is essential, as you can front-run many of those who only use lagging indicators. And it makes opening a profitable position much easier. Both manually and with trading automation.
We are currently finalizing a very important new PPA feature. Now, you can optimize the PPA parameters dynamically, i.e. adjust them to the current markets.
With the optimized parameters, PPA generates more accurate day trading signals.
Such optimization is needed, because the markets don’t always behave the same way. To understand whether if optimization can help, we did the following study.
We ran the same day trading strategy only on Asian trading sessions for one month. The strategy only used the PPA signals to enter and exit the markets. During all the tests, the PPA parameters stayed the same.
We picked Asian session because they are rarely very volatile.
Overall, the test was profitable. We investigated the worst session and could turn it to a profit by only adjusting the PPA parameters for this session.
This adjustment made the signals match the market extremes much better. And trades became profitable.
It is very important to note that the parameters stayed the same during the session!
Why is this important? This means the changes in the markets’ behavior doesn’t happen very fast. Giving us enough time to run optimization to adjust to the change. And also profit from optimized results.
In the first version of the optimizer you run it manually. You can configure the time span you optimize on.
Enhancements planned for the optimizer include running the optimization on the background. This will make it possible to optimize in a rolling fashion. For example, run it every time we got 500 new ticks. Or every time a new PPA signal is fired.
Smart Forex Simulator is our latest product that has just been launched. We offer it as our Cyber Monday deal this year.
What is it? And why is it “Smart”?
Smart Forex Simulator has all existing (and upcoming) simulator related features, including FF/Slow Motion/Pause and Time Shifting.
But also – thanks to inbuilt real-time Pivot Points Analyzer – it can generate market timing signals (the main reason why we call it “Smart“).
And finally, you can integrate it with Metatrader. So, you can not only test on live prices provided by your broker, but also import PPA signals in real time into your Metatrader client terminal for real trading.
We can also call Smart Forex Simulator “Smart Forex Tester Suite lite”, because it includes all the functionality of our flagship product – except for C++ programming framework.
If you don’t need trading automation, Smart Forex Simulator is the right choice.
5 Reasons Why you need Smart Forex SimulatorClick HERE to Order Now
Optimizing Pivot Point Analyzer parameters makes the detection of the market extremes more accurate, because now you can adjust the detector parameters to best fit the recent market price action.
Stay tuned and monitor your emails for the release email.