Scalping is popular due to small stops and a good ratio between SL and TP. These reasons led to the birth of the Scalper trading robot, and a simple trading idea and excellent results in the tester made it popular. In the review, we will find out whether it is worth counting on the repetition of the results in the tester on a real account and analyze the logic of the EA’s work.
Scalper advisor characteristics
Platform: Metatrader 4
Advisor version: 1.0
Currency pairs: GBPUSD
Working time: unlimited
Robot type: indicator scalper, trading is carried out with the expectation of a rollback after an increase in volatility.
How Scalper works
The Expert Advisor is based on 2 linearly weighted moving averages with a period of 3. One is based on High, the other on Low. We get the channel in which the chart moves most of the time.
The idea of trading is to take pullbacks when volatility rises. It looks like this:
- when an abnormally large candle appears with an exit from the channel from the LWMA, the EA places a network of pending orders in the expectation of a rollback. The life of orders is seconds, moreover, it constantly moves them after the price;
- at the moment of the start of the rollback, a deal is opened at market #;
- all orders are trawled and closed at the end of the rollback.
A lot of hot orders are placed, but the EA constantly moves them following the price. If the order is triggered, the life of the trades is usually short.
Scalper Expert Advisor Settings
There are few settings in this robot, of which you can change:
- Lots – lot size when using a fixed volume;
- Risk – is responsible for the dynamic lot, the risk for the transaction is calculated depending on the amount of the trader’s capital;
- Slippage – slippage is filtered;
- MaxSpread – spread filter;
- Magic – the robot assigns this number to its orders and does not confuse them with orders opened by other robots or manually;
- ECN_mode – if you are trading on an ECN account, this parameter must be active;
- OrderCmt – comment to orders.
I will note a couple of disadvantages:
- you cannot adjust the parameters directly responsible for market analysis. Using the parameters, it is impossible to adjust the periods and the type of moving averages, as well as the settings responsible for placing pending orders and tracking the position;
- this makes Scalper impossible to optimize.
But the author claims that the robot shows excellent results even with the default settings, let’s move on to testing the scalper.
Automatic scalper testing
The developer recommended working only with the GBPUSD currency pair, but for the purity of the experiment, Scalper was tested on 4 currency pairs with different volatility. Test conditions:
- starting capital $ 1000;
- testing period – from January to early December 2018;
- currency pairs – EURUSD, GBPUSD, EURJPY, GBPAUD;
- the default settings were used except for the lot size. The trade volume was set to 0.5, using a fixed lot.
- EURUSD – profit was 200.25% with a drawdown of 10.63%;
Scalper definitely deserves attention, but I would not recommend immediately opening a large deposit and placing an advisor on it. The fact is that the robot is very “broker-dependent”. Let me explain:
- the broker should give the minimum spread and not widen it even during high volatility;
- execution must be perfect, a delay of even 0.5-1.5 seconds will greatly change the result.