ExpertAdvisorTrading.com

This week PointBreak closed 44 trades generating $125.7 profit. My account balance now stands at $25,354.46. It was rather a smooth week. There remains 78 unclosed positions with a floating loss of $1,229.59 and are tilted to the long side. During the week, EURUSD ranged rather widely from 1.4510 to 1.4779 but with moderate slopes. Given the nature of PointBreak ea, I’m not concerned about this. The key here is you need a good equity base to maintain the positions until they are eventually closed at a profit. Account free margin is $23,539.87 translated into a margin level of 4,123.91% which is still quite ample.

If things proceed as expected, I may start a live trade with PointBreak soon.

I was contacted by the developer of PointBreak expert advisor to give his ea a try. So, I down loaded the demo version and launched it on a new IBFX standard demo account exactly a week ago. The initial equity was set at $25,000.

The ea ended week 1 with $228.76 profit after closing a total of 207 trades. You can see the Detailed Statement here. As you may notice, this is a completely different type of ea which trades much more often. The thing is the ea doesn’t even predict the direction of the market. The ea uses pyramiding and hedging strategies. The system will keep adding trades in the direction of the trend above or below a starting point. The pyramiding technique work best on a trending market. Once all the trades that are open reaches a profit total target, all the trades will be closed out thus realizing the profits and ends a cycle.

There is one problem to this strategy: on very choppy market, the floating loss will increase and may trigger a stop-out by the broker. In fact, during the past one week, the floating loss on my demo account reached over $1,300. The market just resumed a trend yesterday and PointBreak magically closed all positions at a profit.

The key here is to set the system up to trade very conservatively. There is also a built in money management which will automatically calculate the correct position size according to the risk level selected. This has the effects of containing the risk and compounding the profits.

I’ll want to continue the demo and see how the ea flares over the coming weeks before considering a live trading.