Is anyone aware of any EA tools that compute swap losses or gains (and commissions) in historical testing?
I've been ballparking the values and including the potential balance changes in my testing, but have come up with an EA where I want to maximize the leverage before stop out and would like to compute commissions plus swap value times X number of days held for each position. My "ballparking" method is below...
For example, one broker could have an overnight swap on long EURUSD at 0.4 pip per lot. So for example 15.0 lots x 10 days average or longest trade held x 0.4 plus $8.00 per lot commission would be 15.0 x 0.4 x 10 days =
$8.00 x 15 lots = $120 (commission)
15 lots x 0.4 swap x10 days = 60 pips = $600
$720 on 15 lots charged. Or, $48 per lot.
$720 extra needed over margin used in equity to cover margin required or 4.8 pips extra per 1.0 lot in addition to the spread.
At 100:1 leverage, and say a EURUSD quote of 1.33000, one would need $1330 USD to cover 1.0 lot, plus the additional equity to cover charges.
Are there any EAs testing tools that accommodate for swaps?
I suppose I could simply add 4.8 pips to the ASK at the time of trade which would pad the margin used amount.
It would be nice to have an exact value that could be used to calculate the balance in historical EA testing (to avoid a forced stop out), so that I could appropriate risk to the max level before stop out without having additional unused equity.
Has anyone had any thoughts regarding this kind of Money Management before? Does MT4's tester by default have this pre-programmed in and have different internal commissions and swap values according to the broker you download from? If it does, it's not something that I'm certainly aware of.
Note: For those that don't understand in advance...don't need or want to hear about the traditional 2% rule. Completely understand what traditional fund management is...What we are talking about here is maximizing leverage of a particular EA, without over-leveraging to the point of forced stop out.
Why would anyone want to do this? Let's say for example you have an EA that by testing and market logic has generated 28 or more continuous winners and it's not a scalping EA. How could you ride that wave and put it all out there without going broke in one trade and still have at least half of your capital to continue to trade the next wave of winners.
What's the market logic? It's basically predicting where the market will go first between point A and B. That's for another thread discussion.
I've been ballparking the values and including the potential balance changes in my testing, but have come up with an EA where I want to maximize the leverage before stop out and would like to compute commissions plus swap value times X number of days held for each position. My "ballparking" method is below...
For example, one broker could have an overnight swap on long EURUSD at 0.4 pip per lot. So for example 15.0 lots x 10 days average or longest trade held x 0.4 plus $8.00 per lot commission would be 15.0 x 0.4 x 10 days =
$8.00 x 15 lots = $120 (commission)
15 lots x 0.4 swap x10 days = 60 pips = $600
$720 on 15 lots charged. Or, $48 per lot.
$720 extra needed over margin used in equity to cover margin required or 4.8 pips extra per 1.0 lot in addition to the spread.
At 100:1 leverage, and say a EURUSD quote of 1.33000, one would need $1330 USD to cover 1.0 lot, plus the additional equity to cover charges.
Are there any EAs testing tools that accommodate for swaps?
I suppose I could simply add 4.8 pips to the ASK at the time of trade which would pad the margin used amount.
It would be nice to have an exact value that could be used to calculate the balance in historical EA testing (to avoid a forced stop out), so that I could appropriate risk to the max level before stop out without having additional unused equity.
Has anyone had any thoughts regarding this kind of Money Management before? Does MT4's tester by default have this pre-programmed in and have different internal commissions and swap values according to the broker you download from? If it does, it's not something that I'm certainly aware of.
Note: For those that don't understand in advance...don't need or want to hear about the traditional 2% rule. Completely understand what traditional fund management is...What we are talking about here is maximizing leverage of a particular EA, without over-leveraging to the point of forced stop out.
Why would anyone want to do this? Let's say for example you have an EA that by testing and market logic has generated 28 or more continuous winners and it's not a scalping EA. How could you ride that wave and put it all out there without going broke in one trade and still have at least half of your capital to continue to trade the next wave of winners.
What's the market logic? It's basically predicting where the market will go first between point A and B. That's for another thread discussion.