This is a great introduction to automated trading with this fully-automated trading strategy which opens positions based on a grid system.
Grid trading is a highly profitable and mechanical trading strategy which has no reliance on direction, profits from volatility and uses the intrinsic wavy nature of the market. It requires no market timing or complicated analysis, but rather, the ability to forecast where the market won't go in the long term and a good understanding of " equity, exposure and leverage".
Why Does It Hedge
Positions are opened using the grid system and hedged in both directions, the system will favour opening positions in the direction of the signals that are provided by the DiNapoli Stochastic Indicator. A “hedged grid” is made up of both long and short positions. As the name suggests, there’s a measure of inbuilt hedging – or loss protection with this approach. The basic idea is that any losing trades can be offset by the profitable ones.
What is Grid Trading?
Grid trading has become very popular amongst traders because it does not use stops, is highly mechanical, has no reliance on direction, uses the intrinsic wavy nature of the market, does not require indicators or charts to trade and can be easily automated. Grid trading refers to the trading approach which uses fixed price levels to enter and exit trades. On the bright side, a grid trading strategy can profit from the same absolute market movement several times and can even make money if the market is moving against your grid. On the downside it can appear complex and illogical initially, it can incur large drawdowns if poorly managed, requires more patience than normal and may require forex traders to make a huge paradigm shift it there thinking.
How Does DiNapoli Work?
This version of the
DiNapoli Stochastic with Curve Check has a smoother indicator and extra logic to match the curve of the lines to identify possible price reversal that matches a sharp price reversal. This indicator has proven to provide accurate trend signals and is included in the download.
High-Impact News Event Management
There is one thing we cannot integrate into the backtesting and that is pausing trading and closing open positions just before a major news release, but we provide this product for free when you purchase this trading robot so that you can reduce your drawdown even further due to high impact news events.
Risk Control Features
This is where we really listened to our customers and added extra risk control features to reduce financial losses. Symbol spread control, order filled slippage control, trading hours, max losing trades, max trades open, an equity stop. Balance stop, trailing stop and a fail-safe against high impact news events.
Adjustable Robot Settings Explained
It is very important that you learn how to adjust the robot settings if you wish to use other symbols or to improve the performance of your existing settings.
How To Back-Test This Robot
If you are unfamiliar with using the back-test feature of cTrader then you can visit our
Knowledgebase where we provide traders with detailed instructions.
What Do The Backtest Results Say?
We have tested this robot with various brokers and the results are all about the same, there may be small differences, we have included some example parameter settings to help you get started, you should be able to also find settings for any other symbol.
Example parameters for CADJPY included for starting capitals of 1K
CADJPY: Commission: 35, Spread: 1.0 pips, Data: m1 bars from the server (open prices) Our settings are Low-Risk-Low-Returns, but you can adjust them from anywhere up to High-Risk-High-Returns.
1-Year Backtest (Low Risk)
15% net Profit with a Drawdown Risk of 3.1% of equity and 1.02% of the balance.
1-Year Backtest (Medium Risk)
98% Net Profit with a Drawdown Risk of 16.59% of equity and 0.15% of the balance.
All Symbols Are Supported, Source Code Not Included
Finding The Best Symbol Settings
We just provide some example settings for a single symbol to help you get started, you as the algorithmic trader will need to find the optimal settings for any other symbol you wish to trade, to help you we have created a support page.
Watch a Video Demonstration v1.0
Please note that the video is for version 1.0, a newer version 2.0 has been released.
The video has been uploaded to 1080p High Quality, so do not forget to set your U-Tube video quality to 1080p HD.
Duration: 18 minutes
VERSION 2.0 VIDEO TUTORIAL
When you first use this trading system you may need a little help.
Try Before You Buy?
We offer a 14-day trial of this software so you can run your own backtests and decide if this trading system is for you.
How to Get 50% Discount
We are offering a special offer if you purchase a VPS server for 12-months, more details can be found below.
Product Help & Support
If you need help with installation and getting started with this trading system then please visit the product support page first.
If you cannot find the help you need on the product support page then submit a support ticket.