Wednesday, August 12, 2009
Lose by slippage
Since the possibility to set the minimum range for executing trade, we must realize that in real live trading we will fight with slippage. Forcing expert adivisor to close profitable trade with just one pip may look amazing in back test result. Unfortunately we can't perform slippage simulation during backtest. Generally each backtest result should be recalculated by reducing all profitable trade with slippage, as well adding losing trades by slippage.
Now let we make backtest using fixed lot. At the end of backtest we could see average profit in pips by converting average profit in money with pips value. How many pips our average profit in pips?
Scalping definition by brokers
Mostly in the Term of Service and Term of Condition every brokers tell about scalping method. Generally its about time and profit. No closing trade before x minutes or no closing trade less then x pips. Violate this rule can cancel all our winning trade and of course not for losing trade. We can still follow this rule however. In the other hand some broker will warn us if we executed xx trades in short period. For this kind of rule, we should consider finding another broker.
Risk Warning
Please note that Trading in the Foreign Exchange market might carry potential rewards, but also potential risks. You must be aware of the risks and are willing to accept them in order to trade in the foreign exchange market. Don't trade with money you can't afford to lose.
3 komentar:
What pairs you suggest instead of only eurchf???
VS_EuroCross just suitable on eurchf and eurgbp. Use vs_eurchf for mayor pair.
Ok thanks.
I will download Vs eurchfD01 for major pairs.
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