Balancing poor trades with good ones

The Expert4x

HEDGED

Trading Robot

WHY YOU SHOULD BE TRADING THE EXPERT4X HEDGED EA

Necessity is the mother of invention. One only has to look at the great results posted in our Link-2-Success by the Liberty Range and the Profit Retriever to see the efficiencies of these trading robots. Average Returns of +/- 15% a month for +/- 90 Accounts are well above average.

Unfortunately the profit Retrieval process can result in long periods of drawdown where literally nothing happens for a long time. This is very frustrating. Often currencies can get caught in trends facing the wrong way. Hence the creation of the Expert4x Hedged Trading Robot.

The Expert4x Hedged trading Robot uses a concept of distressed and hedging trading groups to make sure that the negative drawdown of lengthy trends are reduced considerably. Using the Magic Moving Average to identify trends and phases in the market further increases the chances of trades going in the direction of a trend. Furthermore, there are Hedging and lot size multipliers that turbo boost recovery and results.

The Expert4x Hedging trading robot will give you peace of mind and yet keep the trading activity high all the time. More details below.......

How the Robot determines DIRECTION

The robot tries to trade with the trend as much as possible. One of the best ways of determining the phase of a Market Trend is to use a Moving Average which has been shifted into the future. This divides the price action into clear buy and sell zones.

When the price action is below the moving average it is in a sell phase and when it is above it is in a buy phase. The initial trade uses the movement or crossover of the price over the moving average to activate a trade. When in a buy phase the EA will encourage buy trades continuously.

* THIS PROVIDES BETTER TRENDING INFORMATION *

Please watch this video for more information

How does PROFIT RECOVERY Work?

As with many other trading robots the Expert4x Hedged trading Robot does not use stops. What it does instead is that it adds more trades to a losing position. What this does is that it lowers the average cost of the total of open trades.

These trades are added at predetermined price levels using a fixed or flexible gap structure. All the open trades are closed when the sum total of total of the open trades reaches a predetermined profit level.

* THE PROFIT RECOVERY PROCESS WORKS *

For more information on this please view this video.

How does the HEDGING work?

HEDGING only happens when there is a need to hedge. The need to hedge happens when there are more than 1 negative trades open after an initial entry. This group of open trades are then regarded as a DISTRESSED group of trades.

When a DISTRESSED group of trades occur the HEDGING process starts by the opening of a trade in the opposite direction with the same trading strategy as the original trade of the DISTRESSED group. The trader can however change the lot sizing on the HEDGED trades (See the HEDGED multiplier below).

Trading will then continue until the DISTRESSED group is closed at a profit. At that point there is good chance that the HEDGED Group will Become the DISTRESSED group and the process will continue.

See the video for more information and to see the Robot actually trading.

*** THE HEDGING PROCESS MAKES SURE THERE ARE TRADES IN THE RIGHT DIRECTION ***

How does EQUITY updating work?

Equity updating happens when your account starts making nice profits and you want to update your settings because of the increased equity balance. In the past a % of equity setting was used for every single trade. This was proven to be ineffective. So now equity adjustments can be made in jumps in the increase of equity. So for example only once equity has increased by say 100% would setting adjustments be made. This was found to be more robust.

Also the amount of setting adjustment can be managed. So in the previous example once a 100% increase was achieved the trader can decide by how much the settings will be adjusted. A 100% adjustment would keep the settings proportional but many traders would want to decrease risk by increasing settings by only say 50%.

* BUILD ON YOUR SUCCESS *

How Does the LOT SIZE Multiplier work?

When adding more trades after the initial trade has gone negative, a trader can use the same lot sizing or can increase the lot sizing.

By increasing the lot sizing the average price of the basket of open trades is lower and it requires a small retracement for the Basket to become profitable.

How does the Expert4x Hedge EA TAKE PROFITS or MANAGE LOSSES ?

The Expert4x Hedged trading Robot has 3 ways in which gains are made:

The initial trade will hit the target set in the settings
The total of the basket of open trades belonging to a pair that were negative reaches the profit target set by the trader
The total of all traded traded pairs can also be closed at a profit or at a maximum loss

How many CURRENCIES can be traded?

The Robot can evaluate as many currencies as the trader wants to use. Those need to be listed in the settings.

There are however 2 settings that can limit the number of currency crosses that will be traded. There is a setting for the MAXIMUM TRADED PAIRS that will limit the number of pairs traded. Further there is a MAXIMUM CURRENCY EXPOSURE setting whereby the trader can limit the number of time a currency can occur within those pairs.

How does the HEDGE MULTIPLIER work?

When hedging the distressed trades, a trader can decide the level of hedging that will take place.

The default setting is to hedge using the same lot sizing that the original initial trade of the distressed group of trades used and increase the lot sizing from there using the selected strategy.

The alternative is to increase the initial lot size of the Hedging group of trades by a factor of the Distressed initial trade by say 2 or 3 or 4 times. This will provide more of an initial hedge.

* TAKE CONTROL OF THE HEDGING PROCESS *

Follow our Forward Trading of 20 strategies

One of the suggestions we give our Robot traders is to test strategies before trading them live. In fact we suggest that at least 10 strategies are forward traded on 10 demo accounts for a month to see if the strategies are producing the results anticipated by the trader.

Only the demo accounts with the best results should be kept and losing strategies should be replaced with better settings during the 2nd month.

This process will teach traders to workout how the Robot trades and which settings are the most robust. Only the results that produce the highest confidence levels should then be traded live.

Sometimes testing 10 strategies in demo accounts is a big ask for many traders. The lack of experience, computer resources and time are some of the reasons. That is why for the Expert4x Hedged Trading Robot we are doing this for you. We are trading 50 strategies on $10 000 demo accounts with leverage of 200:1 and will report on this portfolio's progress on a weekly basis. As good settings become available we will make them available to owners of the Expert4x Hedged trading Robot below.

* WE DO THE HARD WORK FOR YOU*

The BEST Settings currently available to owners of the Expert4x Hedged trading Robot. Follow the progress of these accounts on FXBlue: FXBLUE

Merely copy these settings into your Expert4x Hedged Trading Robot. Please bear in mind that past results are not a guarantee of success in the future. Right Click on the picture below and select "Open picture in a new tab" to see a clearer version.

HINT: To reduce risk of drawdowns the best change you can make is to reduce the initial lots size in the above settings from 0.1 to 0.05 or lower for instance.

Please note we regularly review the settings and make changes when drawdowns become too big.

New demo accounts are opened for the changed settings (They are the ones with 0.05 lot sizing)

The above settings are test settings and unproven - do not trade them on live accounts until you have tested them for yourself on demo accounts for 2 to 3 weeks. They are being supplied to get you going on your own testing.

What settings are used by the Hedged Robot?

The picture on the left shows the settings available for the Expert4x hedged Trading Robot.

for explanations about these settings please use:

The description of the setting provides good hints as to what the purpose and functionality and format of the setting
The User Manual which is downloadable with the Robot provided comprehensive details
The videos on this page and the one below discusses the settings
If these do not help you use technical support for assistance

What Kind of RESULTS are being Achieved?

Please bear in mind that as at the launch date, this is a brand new trading Robot. Therefore there are no live traded examples that can be shown. These will be created over the next 2 to 3 months.

Currently there are optimized settings that show that the EA has above average potential and the settings from these optimized results are normally highly unreliable and need to be tested before being used.

The default setting are probably the best starting point but again these setting need to tested on demo accounts before being used.

The table on the left shows the results of high level optimization using various currencies and timeframes. These results are a mere reflection of the relative comparative potential of the Expert4x Hedged Trading Robot.

We do not make the set files which have generated these results available as they are possibly the settings that are unlikely to repeat and are regarded as dangerous.

The schedule on the right is based on optimization results whereby the maximum drawdown of the $10 000 is less than $5000 (50%) over the year.