Open Hedge on Points Basis

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Mudassar Rasool
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  • Completed

I would like to suggest that we should have option to open Auto Hedge on Points basis. Currently i have issues with auto-hedge on DD percentage" that it fluctuates with account balance which changes whole scenario. 

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Satisfaction mark by Mudassar Rasool 1 year ago

Dear Andrey thanks for implementation. I have tested this strategy and found that under the given conditions TP in points is not working. However, it is working with GA/Daily profit in % or account currency. Now its time to find the optimized settings. Best of luck to all fellows.

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Andrey Khatimlianskyi
  • Under review

Points from what? From the last opposite trade?

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Ulises Cune

Is it possible that it is like this option?

Image 4003

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Mudassar Rasool
Quote from Andrey Khatimlianskyi

Points from what? From the last opposite trade?

Yes. The idea is if a trade open and goes in wrong direction, instead of opening a Martingale in the same direction, open the trade in opposite direction (hedge it) with same lot size or bigger lot size. Assume original trade goes 50 points negative, open the hedge trade. If the sum of these opposite trades reached desire profitable level i.e. $5, or at breakeven, closes  both. From above example, original trade with 0.5 lot size is100 points negative and hedge trade with 1 lot size is 50 points positive, now both trades are at breakeven. Manually, i have done it many times to save the account. Either i closes the both opposite trades when reached at breakeven or with certain profit. Some times i put the SL on breakeven of the Hedge trade if i assume that the trend is going back to the original direction and i have not reached at overall breakeven. 

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Andrey Khatimlianskyi
  • Planned (collecting votes)

Thanks for the details!

I guess it can be easily done with only 1 new option -- Min distance from the main order (points).

It will allow hedge only when price is far enough from the last order of the main series (if you want to use it after 1st order, just disable martingale).

Sounds good for you?

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forex player
Quote from Andrey Khatimlianskyi

Thanks for the details!

I guess it can be easily done with only 1 new option -- Min distance from the main order (points).

It will allow hedge only when price is far enough from the last order of the main series (if you want to use it after 1st order, just disable martingale).

Sounds good for you?

what if the price goes up again to previous order? it should open again with a higher lot, this strategy called recovery zone.

Image 4082

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forex player
Quote from Andrey Khatimlianskyi

Thanks for the details!

I guess it can be easily done with only 1 new option -- Min distance from the main order (points).

It will allow hedge only when price is far enough from the last order of the main series (if you want to use it after 1st order, just disable martingale).

Sounds good for you?

Zone Recovery is an advanced hedging system. When the market goes against you by certain number of pips, you open an opposite trade by a trade with slightly bigger lot size.

If the market keeps moving in this new direction, at some point the profit from the profit trade will overtake the loss trade, at which point you can close both the trades.

If the market returns to the previous direction, the trade with the bigger lot size will accumulate loss faster than the older trade which is gaining. In this situation, calculate and open another trade in that direction by which the initial trade and the third trade together will be bigger than the second trade.

This back and forth hedging strategy can be continued for 6 iterations until the market moves to a level which can give profit or break even.
It works better with "every tick" data

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Andrey Khatimlianskyi
Quote from forex player

Zone Recovery is an advanced hedging system. When the market goes against you by certain number of pips, you open an opposite trade by a trade with slightly bigger lot size.

If the market keeps moving in this new direction, at some point the profit from the profit trade will overtake the loss trade, at which point you can close both the trades.

If the market returns to the previous direction, the trade with the bigger lot size will accumulate loss faster than the older trade which is gaining. In this situation, calculate and open another trade in that direction by which the initial trade and the third trade together will be bigger than the second trade.

This back and forth hedging strategy can be continued for 6 iterations until the market moves to a level which can give profit or break even.
It works better with "every tick" data

We already discussed this.

You can use "Apply martin after closed loss" to increase the lot and Directional filter to change direction of entry. But I'm not ready to implement this specific tactic into the CP EA.

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Mudassar Rasool
Quote from Andrey Khatimlianskyi

Thanks for the details!

I guess it can be easily done with only 1 new option -- Min distance from the main order (points).

It will allow hedge only when price is far enough from the last order of the main series (if you want to use it after 1st order, just disable martingale).

Sounds good for you?

Excellent. 

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Andrey Khatimlianskyi
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Andrey Khatimlianskyi
  • Completed

Done in 2.53.5 -- https://t.me/CommunityPowerNews/101