Robots Preview – LMD-Multicurrency

As the name of this expert advisor suggests it trades in multiple currency pairs. Every trading day on the open at 00:00, a check is run for a strategy trade signal on each currency pair traded and any number of positions, depending on how many pairs traded, may be opened.

During the contest 8 currencies… USD/JPY USD/CHF USD/CAD EUR/GBP EUR/CHF EUR/USD AUD/USD GBP/USD were traded and there may be more! On average there were 3 trades per day and a total of 99 opened during the 2 month contest.

As noted above, LMD-Multicurrency opens trades at 00:00, before closing them at 00:00 on the next trading day regardless of profit/loss. If the trade signals are good to go, new positions are opened immediately, so there are usually at least one or more trades open practically all the time.

Stop Loss and Take Profit values are sent at trade opening time, except for the USD/JPY pair, and there is also a trailing stop mechanism. But, as most trades are closed out at 00:00 next trade day, these are mainly for safe-guarding open trades in case of sudden large moves. Very pleasing strategy!

Having said that, it’s still mandatory to have the trading platform running 24/7, either on the home computer or better still, on a dedicated VPS server. The trailing stop MUST be allowed to do it’s job in protecting the open trades. We use and recommend Forex Hoster if anyone needs a VPS.

LMD-Multicurrency had the highest net profit in the contest, an impressive 145%. This was partly due to the compounding money management strategy increasing lot size as the trading account grew. This happens to be part of my favorite personal trading strategy also, but there is a rather nasty downside.. losses are larger!

This last point shows up in the maximum drawdown experienced by LMD-Multicurrency.. 34% or in money terms.. $311. The highest out of the top 10 winners! There could well be a setting in the production version of this EA to enable limiting the risk and therefore the drawdown. If there is, it would just about sort out any cons that I could find with this FRWC winning robot!