Using Expert Advisors (EAs) for Strategy Research

Trading has been made so much easier with the advent of computers and Internet. Now the rage is automated trading, algorithmic trading, robotic trading, to name some of the terminologies that has been used. the idea of a robot doing all the trading for you is so compelling that the search for this "Holy Grail" where it is like an automated teller machine, ringing in cash day-in and day-out for us is just irresistible. If you are like many searching for this "Holy Grail", you might want to consider other uses of EAs in the mean time.


Forex trading using the metatrader platform has gained popularity in recent years for many reasons. First, the software can be downloaded for free, along with extensive tools. Second, there is a large community discussing trading strategies with willing coders to develop the EAs, so there are many free EAs out there. Third, the metatrader platform is user-friendly, and somehow, is an easier platform to use. Fourth is the availability of no timelimit demo accounts from a number of brokers. This is especially important for longer term forward testing of your strategy.


EAs are important tools for us, and the more we know how to use them and better still develop them, the better will be our trading. I am sure we have at some point thought of some wonderful strategies and spending time to refine it by trial and error. Why not just code it into an EA and let it run 24x5 and see how your strategy performs. Or you came across a strategy you learnt from a forum ; you can then research deeper into this strategy with the help of an EA. Or test your own trading psychology to see if the strategy is your cup of tea. For example, some strategies requires high drawdown, and it may not be everyone's comfort to stomach high drawdowns or even have the capital to allow high drawdowns. So besides checking out your own strategies, you can explore others and incoporate those that suit your temperament and budget!