Straddle trading EA

Hi Tutela

Never apologize for your English. Most people who were brought up speaking English can't speak another language either. Your English is a lot better than my French! On 4 digit brokers, the EA works, just remove the last 0 on settings like TP and SL etc. So for SL set the values to 10 instead of 100 for example and for TP to be 100 pips, set 100 instead of 1000. (It could not have been 10000.)

I don't understand what you mean by 12 seconds, can you explain a bit more? I think what you mean is you manually opened orders 12 seconds before the news. In that case, use SecBPO=30, which opens orders 30 seconds before. SecBAO=12 which moves your orders into position 12 seconds before and SecBMO=0 which keeps adjusting the orders until news time. Set STWAN=5 to keep the orders until 5 seconds after news.

Also if the EA orders multiple times, it is because your buy stop or sell stop triggered early and it replaces the pending order with another. This means that your orders were too close to market and you haven't used a big enough Pointsaway. For NFP you need 10 or 12 pips minimum for Pointsaway.

When the EA was originally written it used CTCBN (Candles to Check Before News). This would set the High and the Low where the Buy Stop/Sell Stop orders went. Then Pointsaway was added to push the orders further away. So if the High and Low were very close, orders wouldn't trigger accidentally. Most people use Pointsaway set to 5 pips minimum, then 8 pips for volatile (jumpy) trades then 10-12 pips for NFP.

PointsGap and ModifyGap are 2 settings I invented. Pointsgap keeps the orders far away until the last few seconds. So if PointsGap is 5000 (5-digit broker) then the orders are created 500 pips away until SecBAO seconds when they are brought close. If you don't like this idea set SecBPO and SecBAO the same and the EA will ignore this function. ModifyGap is the amount price must change to generate an order modification. The idea is that if price changes 0.1 pips, is there any point wasting 2 seconds changing the order when in the next second it could change 4 pips and then the EA should change the order.

Hello,

Thanks Allan for your answer.

In fact, MT4 work only in M1, not in seconds. And 1 minute is too long.
So let me explain you...
How I trade the news manualy ?
I work with Prorealtime. I can trade on 10 or 12 seconds for each candle.

I use a canal which is centered on the live price. The canal has 8 pips of height. 4 pips on each side of the price.
I have two order limit : one stop if bid, and one stop if offered.

I hope I'm clear. Do youthink it's possible to manage EA to follow this strategy ?

Thanks

Mine doesn't seem to work either. The instructions/EA information does not pop up on my MT4 chart


2014.02.12 01:17:52.395 AmazingEA AUDUSD,M1 inputs: PointsAway=80; PointsGap=1000; ModifyGap=10; TP=500; SL=100; NYear=0; NMonth=0; NDay=0; NHour=0; NMin=0; NSec=0; CTCBN=1; SecBPO=20; SecBAO=5; SecBMO=1; STWAN=50; OCO=true; BEPoints=10; BEOffset=10; TrailPoints=10; TrailOffset=10; TrailImmediate=false; MM=false; RiskPercent=2.5; Lots=0.1; MaxSpread=0; AddSpreadToSL=false; SlipCheck=true; MaxSlippage=200; AllowBuys=true; AllowSells=true; UseBrokerTime=true; TradeLog="AmazingEA";
2014.02.12 01:13:25.812 AmazingEA AUDUSD,M1 inputs: PointsAway=80; PointsGap=2000; ModifyGap=10; TP=500; SL=100; NYear=0; NMonth=0; NDay=0; NHour=0; NMin=0; NSec=0; CTCBN=1; SecBPO=20; SecBAO=5; SecBMO=1; STWAN=50; OCO=true; BEPoints=10; BEOffset=10; TrailPoints=10; TrailOffset=10; TrailImmediate=false; MM=false; RiskPercent=2.5; Lots=0.1; MaxSpread=0; AddSpreadToSL=false; SlipCheck=true; MaxSlippage=200; AllowBuys=true; AllowSells=true; UseBrokerTime=true; TradeLog="AmazingEA";

(this was copied from my log).

Thank you, Alan, for response.
I found the problem and could solve it.
After I copied and pasted the EA from the old build of MT into the new one I could not add the EA to any chart. after I deleted it and added a "fresh" downloaded EA it has worked.

Thx again and sorry for any inconvenience.

with reference to last post, the error has been corrected. tried and tested.

I get what you are saying. You use Prorealtime as your trading station and set it to 10 second or 12 second candles. You set a order distance of 4 pips.

In AmazingEA with a 5 digit broker, you would set CTCBN=0, Pointsaway=40, to setup a channel of 4 pips. If you want the channel to be set 10 seconds before news, use SecBPO=30 and SecBAO=10 and SecBMO=0, which means the orders are created 30 seconds before but moved into position 10 seconds before. Set STWAN=5 and OCO=1 to delete the orders 5 seconds afterwards and delete one if the other goes live.

If you want to setup a breakout trade instead of a news trade, reply back and I will explain that.

Alan

Hi Alan!

I've been straddling news for over a year and just now I stumbled upon your thread, nice! So I've learned all the ins and outs of news trading and the most important thing is to have a reliable broker. I'm currently using Admiral Markets. They had 0 slippage for about a month but then they noticed I make money so they changed my execution. It is still very tradeable because spreads go down right after the news and you can trail up to 0.1 pip away from the price.

You mentioned you use Axitrader because they cap spreads. Could you tell a bit more about that. How much is the spread in it's worst (NFP or AUD employment) and the usual spread with smaller news? Also what is the tightest trailing stop you can place with axitrader?

I would much appreciate if you could provide this information. I have gone trough so many brokers and now that I finally have found a good one (AM) I don't want to withdraw my money for nothing.

I have been straddling news too successfully so far, I have doubled my account in one month by risking 5 percent of my capital in 10 pips stop loss and aiming for 20 pips profit. I used to place buy and sell stops 90 seconds before the news above and below current price. I am using exness, at start everything was fine but now i am facing slippage or no execution during volatile events sometimes. As stop loss is placed very near so i often feel like they stop hunt me. Tell me about your broker and experience in some more detail . I have never tried ECN account, What u guys say about using that so our trades dont go through the dealing desk?

Any reliable broker for straddling, who dont hunt your 10 pip stop loss?
Anyone here knows or working with?

Admiral markets is so far the best broker I have encountered and you can actually make money there even if they have slippage. You first don't have any slippage but after a while they flip a switch and put it on. I think first they test to see if you are a losing trader (they hedge your orders) but when they see you are a news trader they forward your orders to the market (ECN).

Spreads are lowest I have seen. Couple of 15 pip spread spikes before big news but they always lower them very fast. Spreads are stabile and they don't bounce like crazy after the news, atleast in mt4. I noticed mt5 spreads bounce a lot more.

Slippage is there but no more than other brokers I think. Exception was last NFP where I had 40 pip slippage due to price gap but I hear other brokers had the same slippage also in the last NFP.

I have only been there for 3 months so I can't be sure how things are when my account grows but so far so good.

Hi Electry

AxiTrader have 6 pips max spread at all times (5 on ECN) but the slippage is shockingly bad. I have actually given up trading news through them. In fact I am not trading news at all right now because I don't have a suitable broker. AxiTrader's price feed also does fluctuate so isn't suitable for trailing stops IMHO.

Other brokers also cap spreads like Armada Markets. But to be honest I think I'd prefer a broker that widens spreads (within reason) initially but drops them back quickly.

Exness have slightly dodgy practices when it comes to spread widening and execution. Personally I wouldn't trade with them

Hello,

thanks Allan to answer me

could you send me a breakout time. Parameters for 5 digit brokers, for the labor news for example of tomorrow.

Another question, how can I do training. To test the ea, I have to wait the news. Is it possible with mt4 to simulate (backtest) how the ea will works ?

thanks a lot

Hello drBBMM

Can you share your Experience of setting criteria, size of lots and chosing Broker to get success?

Thank You!

Hello drBBMM

In total, your money still goes up month by month? (although you lose here and win there)?
Can you name your Brokers?

Thanks o lot!

Hi Alan111S/ drBBMM

I used the EA trade on the AUDUSD news on 13-Feb-2014 and I got a bad results due to the trade going Whipsawed. The market was spiked up to BuyStop subsequently the Buy order is been opened, simultenously the market went down and I suspect that the EA has sent modification of order but somehow the order is being rejected by the server because I end up having a Buy and Sell order opened. Lose about $271

I'm not good in reading the log, below is the log for the trading day. I want to know whether it is my problem or the broker server reject my modification order? My VPS connection to the broker server is 16-20ms average. Please help.

00:30:00 'XXXXXX': pending order buy stop 2.00 AUDUSD at 0.92337 sl: 0.92221 tp: 0.93337
00:30:00 'XXXXXX': request was accepted by server
00:30:00 'XXXXXX': order was opened : #10764310 buy stop 2.00 AUDUSD at 0.92337 sl: 0.92221 tp: 0.93337
00:30:02 'XXXXXX': pending order sell stop 2.00 AUDUSD at 0.88161 sl: 0.88277 tp: 0.87161
00:30:02 'XXXXXX': request was accepted by server
00:30:02 'XXXXXX': order was opened : #10764311 sell stop 2.00 AUDUSD at 0.88161 sl: 0.88277 tp: 0.87161
00:30:13 'XXXXXX': modify pending order #10764311 sell stop 2.00 AUDUSD at 0.88161 sl: 0.88277 tp: 0.87161 -> price: 0.90036 sl: 0.90186 tp: 0.89036
00:30:14 'XXXXXX': request was accepted by server
00:30:14 'XXXXXX': request in process
00:30:14 'XXXXXX': pending order #10764311 sell stop 2.00 AUDUSD was modified -> price: 0.90036 sl: 0.90186 tp: 0.89036
00:30:14 'XXXXXX': modify pending order #10764310 buy stop 2.00 AUDUSD at 0.92337 sl: 0.92221 tp: 0.93337 -> price: 0.90246 sl: 0.90096 tp: 0.91246
00:30:14 'XXXXXX': request was accepted by server
00:30:14 'XXXXXX': request in process
00:30:14 'XXXXXX': pending order #10764310 buy stop 2.00 AUDUSD was modified -> price: 0.90246 sl: 0.90096 tp: 0.91246
00:30:14 'XXXXXX': modify pending order #10764311 sell stop 2.00 AUDUSD at 0.90036 sl: 0.90186 tp: 0.89036 -> price: 0.90023 sl: 0.90155 tp: 0.89023
00:30:14 'XXXXXX': request was accepted by server
00:30:15 'XXXXXX': request in process
00:30:15 'XXXXXX': pending order #10764311 sell stop 2.00 AUDUSD was modified -> price: 0.90023 sl: 0.90155 tp: 0.89023
00:30:15 'XXXXXX': modify pending order #10764310 buy stop 2.00 AUDUSD at 0.90246 sl: 0.90096 tp: 0.91246 -> price: 0.90215 sl: 0.90083 tp: 0.91215
00:30:15 'XXXXXX': request was accepted by server
00:30:15 'XXXXXX': request in process
00:30:15 'XXXXXX': pending order #10764310 buy stop 2.00 AUDUSD was modified -> price: 0.90215 sl: 0.90083 tp: 0.91215
00:30:15 'XXXXXX': modify pending order #10764311 sell stop 2.00 AUDUSD at 0.90023 sl: 0.90155 tp: 0.89023 -> price: 0.90008 sl: 0.90139 tp: 0.89008
00:30:15 'XXXXXX': request was accepted by server
00:30:16 'XXXXXX': request in process
00:30:16 'XXXXXX': pending order #10764311 sell stop 2.00 AUDUSD was modified -> price: 0.90008 sl: 0.90139 tp: 0.89008
00:30:16 'XXXXXX': modify pending order #10764310 buy stop 2.00 AUDUSD at 0.90215 sl: 0.90083 tp: 0.91215 -> price: 0.90199 sl: 0.90068 tp: 0.91199
00:30:16 'XXXXXX': request was accepted by server
00:30:16 'XXXXXX': request in process
00:30:16 'XXXXXX': pending order #10764310 buy stop 2.00 AUDUSD was modified -> price: 0.90199 sl: 0.90068 tp: 0.91199
00:30:16 'XXXXXX': modify pending order #10764310 buy stop 2.00 AUDUSD at 0.90199 sl: 0.90068 tp: 0.91199 -> price: 0.90235 sl: 0.90058 tp: 0.91235
00:30:16 'XXXXXX': request was accepted by server
00:30:16 'XXXXXX': request in process
00:30:16 'XXXXXX': pending order #10764310 buy stop 2.00 AUDUSD was modified -> price: 0.90235 sl: 0.90058 tp: 0.91235
00:30:20 'XXXXXX': close order #10764310 buy 2.00 AUDUSD at 0.90256 sl: 0.90058 tp: 0.91235 at price 0.00000
00:30:20 'XXXXXX': request was accepted by server
00:30:20 'XXXXXX': request in process
00:30:21 'XXXXXX': order #10764310 buy 2.00 AUDUSD closing at 0.00000 failed [Common error]
00:30:24 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.90139 tp: 0.89008 -> sl: 0.89845 tp: 0.89008
00:30:24 'XXXXXX': request was accepted by server
00:30:24 'XXXXXX': request in process
00:30:24 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89845 tp: 0.89008
00:30:25 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89845 tp: 0.89008 -> sl: 0.89816 tp: 0.89008
00:30:25 'XXXXXX': request was accepted by server
00:30:26 'XXXXXX': request in process
00:30:26 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89816 tp: 0.89008
00:30:26 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89816 tp: 0.89008 -> sl: 0.89770 tp: 0.89008
00:30:27 'XXXXXX': request was accepted by server
00:30:27 'XXXXXX': request in process
00:30:27 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89770 tp: 0.89008
00:30:27 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89770 tp: 0.89008 -> sl: 0.89752 tp: 0.89008
00:30:27 'XXXXXX': request was accepted by server
00:30:27 'XXXXXX': request in process
00:30:27 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89752 tp: 0.89008
00:30:28 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89752 tp: 0.89008 -> sl: 0.89717 tp: 0.89008
00:30:28 'XXXXXX': request was accepted by server
00:30:28 'XXXXXX': request in process
00:30:28 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89717 tp: 0.89008
00:30:28 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89717 tp: 0.89008 -> sl: 0.89706 tp: 0.89008
00:30:28 'XXXXXX': request was accepted by server
00:30:28 'XXXXXX': request in process
00:30:28 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89706 tp: 0.89008
00:30:29 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89706 tp: 0.89008 -> sl: 0.89691 tp: 0.89008
00:30:29 'XXXXXX': request was accepted by server
00:30:29 'XXXXXX': request in process
00:30:29 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89691 tp: 0.89008
00:30:30 'XXXXXX': modify order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89691 tp: 0.89008 -> sl: 0.89659 tp: 0.89008
00:30:30 'XXXXXX': request was accepted by server
00:30:30 'XXXXXX': request in process
00:30:30 'XXXXXX': order #10764311 sell 2.00 AUDUSD at 0.89927 was modified -> sl: 0.89659 tp: 0.89008
00:30:36 'XXXXXX': close order #10764311 sell 2.00 AUDUSD at 0.89927 sl: 0.89659 tp: 0.89008 at price 0.00000
00:30:36 'XXXXXX': request was accepted by server
00:30:37 'XXXXXX': request in process
00:30:38 'XXXXXX': order #10764311 buy 2.00 AUDUSD closing at 0.00000 failed [Common error]

Actually Alan, I would love this please!

It looks like great software but I'm not into trading news. I am looking for a straddle tool that has many of the features you include in your AmazingEA. So if there is a configuration that would make it useful for trading any non-news straddle situation that would be very interesting. Thanks.

Peter

You should check out Admiral Markets. Utilize the fact they have 0 slippage at first with big lots and then tone it down a bit. Their slippage ain't that bad tbh. I only get slippage for 1 tick after the news.

One reason I like is that their spread goes down right at the first tick so you don't get slippage + 20 pip distance because of the spread spike. Also they allow 0pip distance orders from the price so you can do 1pip trailing stop (that has been very succesfull in lower impact news for me).

If you want more spread but no slippage you should try oanda. They cap spreads at 15 pip (USD) and 20 pip (GBP etc) but they have little to none slippage but what I have tested they are untradeable in anything but NFP, AUD Employment and UK Claimant Count Change. Their spread doesn't go down until 1 minute after the news so it's hard for lower impact news.

But I was thinking I'm going to trade only NFP with them because they don't slip. Too afraid to put a lot of volume on ECN broker if it slips...

On NFP I use PointsAway at least 80 (other News Reports vary from 40 to 50), Lot size 1- 40 (max 5 %). My broker is Thinkforex because recently it always gave zero slippage during NFP and other News Release. Although the spread widened during major news but the net profit was not affected at all by widened spread when the trade was closed . Look at post 948: My TP was not hit but BEOffset (2 pip) worked well and I got profit 2 pips (= 106 USD) minus commission (- 26.8), although the spread widened.
I finally know (after asking a question to Thinkforex) why I always got zero slippage at Thinkforex as stated by Joshua Dentrinos from Thinkforex:"For bigger accounts we general funnel a direct line of liquidity to the account to minimize slippage. Your deposit size was very large so you have a very good liquidity pool attached to your account".
That is why I feel confident in trading News release with Thinkforex because the slippage is zero so I can put TP only 200 point (but never use this small TP if your broker give you big slippage because your TP turn to become your SL !! as I experienced with other brokers).
Yes my account still grow monthly, but beside using Amazing EA (straddle the news), I use SNW Elite (399 USD/month).

Sorry Tutela. Haven't visited here for a few days and missed your post. The standard settings work fine for a 5 digit broker. (For 4 digits, you got to change all the Pip related settings by dividing by 10 so Pointsaway=50 would be Pointsaway=5 etc.

Training is on the job .... I don't know any decent way of simulating what brokers do during news releases

People have back tested it but I never tried as I don't see the point. Conditions are too different on live.

Bad luck for having a loss like that but I think that 2 lots with new software is too much risk. Personally I have lost well over $1000 using 2 lots !

The closing failed errors were you trying to close the buy manually.....you got 2 pips slippage on the buy and about 1 pip on the sell. Also, there wasn't much increase in spread. I think you were just unlucky that the buy triggered and then the price went down.