Problems Between Simulation Results and Actual Trading Result

Issues amongst simulation final results and real trading outcome. Beneath are some situation that require to be deal with.

a) Bid-Inquire spread.

This spread is usually between two to 4 pips for major currency pair USDJPY, EURUSD, USDCHF, GBPUSD, etc but when there are news and major movement, the spread will boost to five to 9 pips and 10 – 15 pips and even 16+ pips and far more. This implies when you acquire, you already obtain damaging 16+ pips on that trade.

Simulation does not cover this spread as the bid-ask is always base on the most current spread in the MT4 server. Thus, news created broad pips spread are not capable to capture and the acquire-sell trade are not accurately simulated. This change in pips has to be taken into account when simulating by taking 2 measures. Amount 1 is to set the spread restricted in your EA to below 8 pips to execute a trade. Anything at all far more then 8 will not execute any trade. Quantity 2 is to set your profit or trigger level -9 pips then your normal profit degree when simulating. This will make certain the spread is take into account.

b) Server availability.

This is limited to the market demand, as more trade enter, the server will be overloaded and result in server busy when you want to purchase or sell a currency. Then you have to execute the trade once more. In case, the spread will alter and influence your trade income. Different server will have numerous spread and ask at the very same time.Server busy will cause your trade to be invalid.

Simulate does not cover the server busy. So you have to code in a server busy reply from server and to wait 1 or two seconds ahead of retry executing the trade again employing “IsTradeContextBusy()”. This will enable your EA to retry yet again when encounter server busy. You might want to have up to five occasions or 1 minute of retry.

c) Log in. This is due to the world wide web connection with the MT4 server. The account is consistently ping to sustain its loggin standing. When web connection is disrupted, the car log in will continue and at instances you will see a couple of login entry in your journal.

Simulate does not more than this login portion. So you have to code in to get data from the server through “RefreshRates()”, This will permit the EA to attempt login your account prior to executing any trade.

Lastly, if you take into account the above problem, your simulation final results can be a benchmark to your reside trading outcome. Thank you

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