How To Backtest Forex Recovery Bot
Forex Recovery Bot is compatible with MT4/MT5 backtesting functionality.
We highly recommend backtesting the bot before using it on a live account as there are many benefits for traders:
1) Test performance during historical drawdowns
2) Validate recovery strategies
3) Optimize parameter settings
4) Verify risk management rules
In this guide we will cover the following topics related to backtesting the bot:
How Backtesting Works
Video demonstration
Backtesting settings
When backtesting, the bot will first open a “wrong position” order. This will be the losing order that the bot is tasked with recovering. You will want this order to go into downdraw so that the bot is activated and begins the recovery process. Once the downdraw parameters are met during the downdraw, the bot will begin the recovery order steps.
Once you have opened the MetaTrader backtesting feature, navigate to the bot’s input settings. Scroll down until you see the “Tester” section. This is where the settings for backtesting are located.
Wrong position time: During backtesting, the bot will open the “losing” trade at this time.
Wrong position direction: Determine whether you want the losing trade to be a buy or sell order
Wrong position volume: The lot size of the losing order
Notes:
News Filter – Forex Recovery Bot features a news filter. The news filter automatically pauses recovery orders before large news events in an effort to prevent downdraw due to sudden price movements. It is important to note that the news filter does not work with backtesting. Therefore, when backtesting the bot will trade through news event releases where it would have paused on demo or real account.
We highly recommend backtesting the bot before using it on a live account as there are many benefits for traders:
1) Test performance during historical drawdowns
2) Validate recovery strategies
3) Optimize parameter settings
4) Verify risk management rules
In this guide we will cover the following topics related to backtesting the bot:
How Backtesting Works
Video demonstration
Backtesting settings
How Backtesting Works
When backtesting, the bot will first open a “wrong position” order. This will be the losing order that the bot is tasked with recovering. You will want this order to go into downdraw so that the bot is activated and begins the recovery process. Once the downdraw parameters are met during the downdraw, the bot will begin the recovery order steps.
Video Demonstration
Backtesting Settings:
Once you have opened the MetaTrader backtesting feature, navigate to the bot’s input settings. Scroll down until you see the “Tester” section. This is where the settings for backtesting are located.
Wrong position time: During backtesting, the bot will open the “losing” trade at this time.
Wrong position direction: Determine whether you want the losing trade to be a buy or sell order
Wrong position volume: The lot size of the losing order
Notes:
News Filter – Forex Recovery Bot features a news filter. The news filter automatically pauses recovery orders before large news events in an effort to prevent downdraw due to sudden price movements. It is important to note that the news filter does not work with backtesting. Therefore, when backtesting the bot will trade through news event releases where it would have paused on demo or real account.
Updated on: 24/12/2024
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