Hi
Another point about GBPAUD big loss last month. I placed the same trade as well but at much larger intervals and I profited from the trade while Smart2 lost.
I think your EA should not place so many similar trades for volatile pairs such as GBPAUD and GBPNZD (or any GBP minors) at such close intervals. These pairs are so volatile that a day move could be 200-400 pips. Placing trades at less than 150 pips interval seems recipe for disaster and leaves you no room to get out of trouble.
Furthermore, trade sizes (0.19 to 0.2 compared to about 0.1 a few months back) are much larger than you first started. I noticed you have adjusted it back to normal recently. Please don't change a winning strategy to chase % returns as you can see it will blow up in your face one day. You might want to consider adjusting trade size in accordance to volatility of the pair and your confidence it will work out.
For example GBPUSD's volatiity is probably 1/3 or 1/4 of GBPNZD. If you open 0.1 lot for GBPUSD, would it be better to open 0.04 or 0.05 lot for GBPNZD (after adjusting for rate differences of the base currency)? Actually Smart2 is very good at getting out of trouble when a trade goes wrong, but one wrong trade could be very damaging and perhaps the damage could be reduced if the lot size is adjusted accordingly.
Thanks!
Another point about GBPAUD big loss last month. I placed the same trade as well but at much larger intervals and I profited from the trade while Smart2 lost.
I think your EA should not place so many similar trades for volatile pairs such as GBPAUD and GBPNZD (or any GBP minors) at such close intervals. These pairs are so volatile that a day move could be 200-400 pips. Placing trades at less than 150 pips interval seems recipe for disaster and leaves you no room to get out of trouble.
Furthermore, trade sizes (0.19 to 0.2 compared to about 0.1 a few months back) are much larger than you first started. I noticed you have adjusted it back to normal recently. Please don't change a winning strategy to chase % returns as you can see it will blow up in your face one day. You might want to consider adjusting trade size in accordance to volatility of the pair and your confidence it will work out.
For example GBPUSD's volatiity is probably 1/3 or 1/4 of GBPNZD. If you open 0.1 lot for GBPUSD, would it be better to open 0.04 or 0.05 lot for GBPNZD (after adjusting for rate differences of the base currency)? Actually Smart2 is very good at getting out of trouble when a trade goes wrong, but one wrong trade could be very damaging and perhaps the damage could be reduced if the lot size is adjusted accordingly.
Thanks!
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