How do you "benchmark" an EA? I read a lot of posts and see equity curves that are profitable, but what does that mean? Below are two images. The first is an EA I wrote a couple days ago. Very simple with fixed targets. The second is random entry with fixed targets. Both tested from beginning of 2007 until now. When I first tested the EA from the first image, I was happy considering it could be made much better. Dynamic targets and some trade and money management. It has none of that. But when compared to a random entry EA, I think big deal. It does no better.
So I guess my question is what do you think makes a successful EA? Return, low drawdown, low margin, etc. And what do you compare this to? I own a business and know where my profit margins, inventory costs, payroll, etc, need to be based on industry standards. Where are the standards for EAs. Just being profitable can't be it. If that was the case everyone would be doing random entry.
So I guess my question is what do you think makes a successful EA? Return, low drawdown, low margin, etc. And what do you compare this to? I own a business and know where my profit margins, inventory costs, payroll, etc, need to be based on industry standards. Where are the standards for EAs. Just being profitable can't be it. If that was the case everyone would be doing random entry.