XAUUSD Algo Trading: Fixed Lot vs. Smart Progression | Backtesting Insights VIDEO

daavilefx

Trader & Investor

XAUUSD ALGO TRADING- FIXED LOT VS SMART PROGRESSION BACKTESTING EXAMPLE

TODAY I WILL SHOW THE DIFFERENCE BETWEEN FIXED LOT AND SMART PROGRESSION WHEN TRADING GRID SYSTEMS.
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I WILL BE USING MY EA WITH A TRADING MODE IM TESTING THAT IS VERY AGRESSIVE WITH HIGH VOLUME OF TRADING CALLED: SPEED TRADING

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I WILL USE SAME SETFILE/STRATEGY WITH SAME EA.
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I WILL USE VERY BASIC EXAMPLE TO TEST.
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FIXED LOT MEANS EVERY LOGIC MY EA IS USING WILL HAVE SAME INITIAL AND LAST LOT E.X


FIXED LOT

LOGIC1=
INITIAL LOT: .01
LAST LOT: .01

LOGIC 2=
INITIAL LOT: .02
LAST LOT: .02


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SMART PROGRESSION
LOGIC1=
INITIAL LOT: .01
LAST LOT: .05
MULTIPLIER: 1.5

LOGIC 2=
INITIAL LOT: .01
LAST LOT: .02
MULTIPLIER: 1.25

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I DO THIS FOR MULTIPLE PURPOSES BUT MAINLY FOR
1. IDENTIFY MY 21 LOGICS; WHEN IM USING MY SYSTEM FULL LOGICS, I HAVE ISSUES TO DETECT WHAT EACH ONE IS DOING, SO I USE FIXED LOT TO ID EACH LOGIC.
2. I DONT ADD MULTIPLIER ALL IN CAUSE THEY CAN OVERFIIT RESULTS OR SHOW VERY GOOD RESULTS COVERING RISK.
SOME TIMES BIG LOTS GENERATE BIG PROFITS THAT DOUBLE ACCOUNTS FAST BUT THAT MEANS PROFITS ARE SAVING ACCOUNT AND EA IS OVERFITTED AND NOT WELL TRAINED.
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THATS WHY ALWAYS USE PROFIT AND MAX DRAWDOWN AS DATA NOTHING ELSE MATTER WHEN BUILDING.
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LETS SEE THE DIFFERENCE.

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