News Template without DLL Expert Advisor For MT4
PLEASE NOTE: This expert advisor was publicly available for free usage on other websites and is not programmed by us. We explain the functionality and possible improvements of the EA. Furthermore, we are convinced that fully automatic Expert Advisors will fail in the long run. On the other hand, our semi-automatic approach with detecting the best setups and then activating our Expert Advisors (e.g. V-Power EA, EdgeZone EA) produced many successful traders and some of them even got prop traders at prop trading firms. Therefore, we added a similar semi-automatic trading feature (to allow only buy or only sell trades) to the free Expert Advisors. You can download the modified version here and enjoy!
Complicated by design, the News Template without DLL Expert Advisor For MT4 is a rather simple expert advisor for MT4 platform. It takes signal from only one indicator, that is, the news indicator, which returns either true or false, true if there is pending news or if news was released a few minutes ago and false if no news is to be expected in the near future or if the last news release happened quite in a while. The number of minutes before and after news wholly depends on the news impact. Only those news announcements affecting the current symbol are being considered by the robot.
The News Template without DLL Expert Advisor For MT4 – Entry Criteria
The News Template without DLL Expert Advisor for MT4 does not use any external custom indicator in determining incoming or outgoing news events. Instead of getting values from another indicator via the iCustom function (which is readily available online), the robot uses its own built-in function to check news releases from either of two news sources (DailyFX.com or Investing.com). The default news portal used is Investing.com.
Only news affecting the current symbol is being checked by the robot. On every tick, a query is made to determine if the last news update was done no longer than 24 hours in the past. This is to ensure news data is fresh and relevant to trading. News items before and after their release are displayed on the chart as text with colors and also plotted along vertical lines. The type of news is shown as a comment on the upper-left portion of the chart window. Color coding is used to signify the news impact or importance. NFP and high impact news items are in red, moderate impact in blue and low impact in green.
While all this visual information is pleasing to the eyes, it is only calculated and displayed just for guidance or information purposes. The trader or user must be aware that the robot does not take trades during news times. What it does is it avoids trading during these times of market volatility. Whatever the impact of news is (i.e. NFP, high, medium or low), the robot takes no trading action.
The robot takes trades in consideration of news events in this manner. If the last news event happened more than x minutes ago and the incoming news will take place in more than x minutes from now, it is trade time for the robot. The number of minutes depends on the news impact. For example, if a low-impact news was released more than 15 minutes ago or is to be released more than 15 minutes from now, the robot can take a buy or sell trade. Medium impact is 30 minutes, high is 60 minutes and NFP is 180 minutes.
When news is out of the way, the robot will check if there is any open order in the current symbol. If none, a buy trade is taken instantly if the previous candle is bullish (i.e. opens lower and closes higher). If the previous candle is bearish (i.e. opens higher and closes lower), a sell trade is immediately taken. The candle used as basis for entry is on the hourly chart. It is not necessary that a new candle has formed before the robot takes a trade. The robot checks for a trade on every tick. When the entry conditions are met, a trade can be taken at any moment.
The News Template without DLL Expert Advisor For MT4 – Exit Criteria
The News Template without DLL Expert Advisor for MT4 takes only one trade at a time. If a buy trade is open, it does not add a sell trade and vice versa. The robot always sets a stop loss price and take profit price for all trades taken. Each order sent to the trade server has a stop loss of 10 pips and a take profit of 10 pips.
A few moments after a trade went live, it will either hit the stop loss (for a loss) or take profit (for a gain). That is the only way that trades are closed by this robot. Due to the close distance of the take profit and stop loss, trades are settled fairly quickly and new trades are opened sooner than later as well.
The News Template without DLL Expert Advisor For MT4 – Rooms for Improvement
The News Template without DLL Expert Advisor for MT4 does not look promising when back-tested with the default settings. The equity curve continually declines from start to finish of doing back-testing. One or two things must be done to improve its performance. Possibly, the simplistic approach to determining the trade bias is problematic. Relying on the color or sentiment of the previous candle on the hourly chart might not be enough to prefer long over short as a trade type. Additional technical indicators or other factors must be used to confirm the trade entry. This would lead to fewer trades but more chances of winning.
Another area to look into is the money management scheme currently in place. The majority of traders the world over agrees that risk-reward ratio should be at least 1.5 in favor of reward for a trade campaign to succeed. Higher ratios are suggested, but this comes with a lower win rate caveat. No single risk-reward ratio is best in every situation, so spending time with the strategy tester and doing optimization is the way to go.
This robot is not suitable for beginner traders without proper guidance. Novice traders especially those with no programming knowledge of MQL4 might soon come to a realization that the robot does not work at all. The robot makes use of the WebRequest function to read news items. If the desired URL is not added to the Expert Advisors options first prior to starting the robot, the expert advisor might not provide correct news information. As a result, it might trade even during news times, which is against the reason for its existence. Therefore, users of this robot must get direction from someone knowledgeable of its inner workings.