Strategy Test Reports Tick data tests (EURUSD)

All the strategy tests are conducted with a spread of 2.0 pips which is considered above normal for EURUSD. Tighter spreads will obviously enhance the overall profitability of the system. Spreads upto 2 pips will not effect the Performance of the EA. The profitability, trade exits may be affected when broker with higher spreads are used. It is highly recommended to use ECN/STP broker accounts with spreads of 1 pips or lower. Best performance is seen on brokers with minimum spread ( <0.5 pips ). Based on live feed studies, Phibase recommends the following brokers : IC Markets, Sensus Capital, EXCEL Markets, AXI Trader, FXPRO and FINFX.

It is recommended to use only tick data for running back tests of Ray Scalper (or any other EA which work on every price tick). The live performance tests match very well with Dukas copy tick data tests. Based on comparison with live trading data, even high quality M1 backtests was found to be unsuitable.

Ray Scalper Version 3.0 : 2007-2014 Tick Data Back Test with Fixed_LotSize=0.1

Fixed Lots can be used in case the traders portfolio is made up of several EA's and the gains are always withdrawn on a monthly basis. This test is also useful to study the equity curve without the effect of compounding hiding drawdowns.

Fixed_LotSize=0.1; FinalTarget_x_H1_ATR=8; StopLoss_x_H1_ATR=4; Trail_StopLoss_x_H1_ATR=2; Trail_Trigger_x_H1_ATR=1; (and all other custom parameters - unchanged)


Click Here to download complete MT4 Strategy Tester Report of this test


Ray Scalper Version 3.0 : 2007-2014 Tick Data Back Test with Max_Allocation_Per_Trade=8 (Geometric position sizing)

Ray Scalper uses geometric position sizing for money management. Max_Allocation_Per_Trade=8 is default which makes the EA trade with lot size of about 0.32 per $10000. The lot size is scaled relative to increase/decrease in equity. MAx DD of about 22% was seen in backtests since 2008. A max DD of 42% was recorded towards the end of 2007 - This could happen in future but is considered highly unlikely since the trading conditions prior to 2008 was very different from what is seen post 2009.

Max_Allocation_Per_Trade=8; Fixed_LotSize=0.1; FinalTarget_x_H1_ATR=8; StopLoss_x_H1_ATR=4; Trail_StopLoss_x_H1_ATR=2; Trail_Trigger_x_H1_ATR=1; (and all other custom parameters - unchanged)


Click here for the MyFxBook Strategy Report

Click Here to download complete MT4 Strategy Tester Report of this test


Ray Scalper V3 vs V2 : Year wise test (from 2007 to 2014)
Parameters : Recommended defaults - Medium risk (MA 8)

It would be more practical to observe the trades on a year by year basis to understand and develop confidence in the system. This will enable traders to handle normal drawdowns in live trading without fear and uncertainty.

Year wise back test comparison of V3 and V2 (from 2014 to 2007)

Forex trading can involve the risk of loss beyond your initial deposit. It is not suitable for all investors and you should make sure you understand the risks involved, seeking independent advice if necessary. Forex accounts typically offer various degrees of leverage and their elevated profit potential is counterbalanced by an equally high level of risk. You should never risk more than you are prepared to lose and you should carefully take into consideration your trading experience. Past performance and simulated results are not necessarily indicative of future performance. All the content on this site represents the sole opinion of the author and does not constitute an express recommendation to purchase any of the products described in its pages.


Disclaimer


U.S. Government Required Disclaimer – Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial adviser if you have any doubts. Clearly understand this: Information contained within this course is not an invitation to trade any specific investments. Trading requires risking money in pursuit of future gain. That is your decision. Do not risk any money you cannot afford to lose. This document does not take into account your own individual financial and personal circumstances. It is intended for educational purposes only and NOT as individual investment advice. Do not act on this without advice from your investment professional, who will verify what is suitable for your particular needs & circumstances. Failure to seek detailed professional personally tailored advice prior to acting could lead to you acting contrary to your own best interests & could lead to losses of capital.


*CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.


By using PhiBase SYNERGY, you acknowledge that you are familiar with these risks and that you are solely responsible for the outcomes of your decisions. We accept no liability whatsoever for any direct or consequential loss arising from the use of this product. It's to be noted carefully in this respect, that past results are not necessarily indicative of future performance.


2012 PhiBase Technologies. All rights reserved. Ray Scalper EA