MQL5 Free EA – Verification by backtesting 26 “GoldGainer”
In the “Verification by backtesting" series, we verify the performance of free EAs registered in the MQL5 community from the backtesting results. We hope it will help you choose EA.
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The 26th installment is “GoldGainer“.
About “GoldGainer”
Quote from MQL5 official page
Introducing GoldGainer EA, an expert advisor that utilizes an AI algorithm ,MACD,RSI to identify trading opportunities on the M30 timeframe. When a signal is detected based on its own mathematical calculations, the EA will place an instant order. The maximum number of trades is predetermined, along with fixed stop loss and take profit values.
Here are the input details you need to know:
- initial Lot Size: 0.01 (the initial lot size)
- Balance: 200 (it increases lot after 1x)
- MaxCountOrders: 2 (the maximum number of orders allowed to be open at one time)
- MaxSpread: 200 (the maximum spread allowed for trading Gold)
- TakeProfit: 150 (the number of pips for take profit)
- StopLoss: 120 (the number of pips for stop loss)
- Magic: 2628 (the unique magic number for trades)
- Comment: GoldGainerV_2.6 (the comment for open trades)
Other features of the GoldGainer EA include:
- Single Pair: XAUUSD/GOLD
- Timeframe: 30
- Recommended deposit: $200 with an initial lot size of 0.01
It’s important to remember that past trading results do not guarantee future results will be the same. Market conditions can change quickly, and there are many factors that can impact the performance of a trading strategy. Therefore, it is crucial to always consider the risks involved before investing in any trading strategy. This includes understanding the potential losses and gains and assessing your risk tolerance accordingly. It’s also advisable to seek professional advice from a financial advisor or other experts in the field to help you make informed decisions.
Trading of “GoldGainer"
Take Profit (TP) and Stop Loss (SL) are set by EA parameters, but most trades seem to be closed by internal logic before reaching TP and SL.
Backtesting with default settings (compound interest)
- Account: NZX Zero (ECN) (NOZAX)
- Currency Pair: XAUUSD#
- Timeframe: M30
- Parameters: default settings
- Initial Deposit: $200
- Period: 2020.01.01 – 2023.03.31
simple interest backtest
To get a simple interest result, I set the parameter Balance to 3000 and set it to trade 0.01 lot if the balance is within $3000.
- Account: NZX Zero (ECN) (NOZAX)
- Currency Pair: XAUUSD#
- Timeframe: M30
- Parameters: Balance=3000
- Lots: 0.01
- Initial Deposit: $1000
- Period: 2020.01.01 – 2023.03.31
This EA has a small drawdown and seems to be highly profitable. Comparing the backtest results of the default setting and the simple interest setting, I think that gradual compounding can be used with peace of mind rather than operating with extreme compounding.
Also, since it is an EA that uses AI, it is necessary to check whether it is overfitting. Also, during the backtest period of about 3 years, there is a period when growth is a little sluggish, so it seems good to start by checking the operation with a demo account.
- Overfitting is a phenomenon in which an AI model overfits the training data and performs poorly on new data.