Forex Megadroid Settings

20. July 2010 11:41 | Forextc

How To Get The Most From Megadroids Settings

There has always been a bit of a criticism levelled at Forex Megadroid. Ok it may make winning trades, it may make money, it may be probably one of the best trading robots we have every used… but it’s all just a little bit boring! While it has continued to perform well on our Alpari UK trading account of late, it has hardly been raising the levels of excitement here at Forex Technical Chartist.

However to be excited by a Forex robot is somewhat to miss the point. We can point out many trading systems where the frequency of trades is high and the level of excitement also. But ultimately what matters are the results. This is where Forex Megadroid wins. It goes about its business when it sees fit. It is not trying to be exciting; only profitable.

We have read several times of traders wanting to meddle with the Forex Megadroid settings. Perhaps this is why Megadroid gets criticised as there are hardly any. Yes they are boring and the only real thing of note that can be changed is the risk profile. This affects the percentage of your account that this placed on each trade.

There are of course easy ways to ‘nudge’ the robot to trade more frequently and bring about some more excitement. The simplest way is to open multiple 1 hour charts and configure them at a GMT offset to the main chart. This effectively fools Megadroid into looking for trading opportunities either side of its standard window. Using 3 charts (one at default) and one either side with a +2 and -2 hour GMT offset is probably one of the better configurations we have used and will certainly see more trades triggered.

But then surely this misses the point of buying a commercial Expert Advisor. You don’t buy a car and then reengineer it yourself, so why would you buy this robot only to spend time configuring the Forex Megadroid settings yourself?

Sometimes being boring and following a slow steady path is the way to results. We do of course still love the Trend OSOB EA we have been reporting on. But we have to say we are still getting to grips with it. Even after adding the adjustments we mentioned in our previous post we've still seen 2 losses since our last update. So despite also recording a good number of winning trades, we remain on the poorer side of break even over the last two weeks. We are however still up since testing began.

No such losses with Forex Megadroid however. Just plain and boring Forex Megadroid settings out of the box. Perhaps now it is timely to recall the story of the Hare and the Tortoise? I think we all know the answer as to who won that race. Go buy a Mega tortoise and you’ll win the race in the end.

Read Our Full Forex Megadroid Robot Review >

Week 1 - Forex MegaDroid Live Test Update

7. May 2010 17:26 | Forextc

A pretty crazy week in the markets! So time to update on how MegaDroid has been getting on.

Only two trades this week. Both were on Wednesday and both closed out for a TP of 10 pips - so a nice 20 pips profit recorded this week

We only ran MegaDroid Mon,Tue,Wed this week, turning the robot off on Thurs due to the UK election (volatility rise in markets) and of course Friday (US Non Farm Payrolls). MegaDroid tends not to trade on Fridays anyway as the volume falls away on Friday evenings. This means we only physically fire up early Monday evening through to Friday morning.

This is another tip we have found when using MegaDroid. While the robot is designed to run 24 hours we tend to apply some due diligence as to when we run it. While of course we like technical analysis, there seems little point in running the robot when there are obvious fundamental risks in the market. MegaDroid can't cater for these risks so this is where we intervene. This is why the system developers advise not trading NFP's and Fridays. Ok so we may book pips more slowly but thats fine. Despite the hype MedaDroid is not really a double your money overnight type of robot. It is a steady earner.

So if there is one criticism of MegaDroid it's that it doesn't trade enough. Depending on your trading view this can be either a good or a bad thing. But there are ways to get MegaDroid trading more frequently... and next post we will be looking at some simplel ways to set up the EA to enable MegaDroid to find more trade entries.

We have also been using another EURUSD EA for the past couple of weeks which is similar to MegaDroid but trades a much wider timeframe. We'll be putting up some stats on that in the coming weeks also.

Ensure You Get The Most From Your MegaDroid Robot...

2. May 2010 15:13 | Forextc

As part of our countdown to our Forex MegaDroid live test we thought we would post two simple top tips to ensure that you giving both yourself and your trading robot the best chance of success. So here goes...

MegaDroid Top Tip 1

The Forex MegaDroid robot follows a EURUSD scalping strategy. With scalping strategies, success or failure can be greatly enhanced by the spread offered by the broker. For a manual scalping strategy, high spreads eat into the profits; for MegaDroid, high spreads mean that the robot simply will not trade!

Past experience shows that MegaDroid is extremely sensitive to spreads and if you want to get the most out of the robot, you need to be looking for a Forex Broker with a EURUSD spread of less than 2 pips.

After having experimented with several brokers we have found that Alpari UK seems to work out best. During the MegaDroid trading window (which we cover next) the spread tends to remain fairly stable at around 1.6pips. Using this Broker not only did we get a greater number of trade entries in comparison to other brokers tried, where more than one broker traded, we tended to book more pips on the Alpari Account.

MegaDroid Top Tip 2

We were interested to note the manufacturers claims that the robot should be left to run 24 hours day. The explanation given for this is that not only can the robot trade at any point in a 24 time window, but also that it allows the robot to learn. However our experience of the robot doesn't really bear either of these claims out.

MegaDroid trades only late in the US session through to the start of the Asian session. We had no new trades entered outside of these hours and found no difference in trade results between running the robot 24 hours versus simply turning on our machine for the session. So clearly any learning that the robot gains is as a result of the trades it makes and not simply from scanning the market throughout the day.

Ok, so much of what we read is marketing material, designed to make the robot stand out from the crowd. However this is actually a positive because it puts MegaDroid in even easier reach of the beginner.

There is no need for an expensive VPS or hosting costs that eat into your profit. You can simply buy the software, install it on your pc with the 5 minute setup pledge and you are instantly ready to let MegaDroid run on your account.

Don't forget you can follow our full live Forex MegaDroid results as they happen either here on our blog or via RSS or Twitter.

Live Forex MegaDroid Testing Preparing to Commence...

30. April 2010 16:18 | Forextc

Our Forex MegaDroid live account test is due to commence on Monday 3rd May 2010. During the course of our testing we intend to report all our results and provide various tweaks and tips that you can use to maximise the profits from your robot.

So firstly lets introduce Forex MegaDroid.

Forex Megadroid is an automated EA which was launched at the end of March 2009. Since then it has been one of the more popular robots amongst traders. It claims a 95.82% level of accuracy which is high by any standards.

For those unfamiliar with Forex Robots they are designed to automatically execute a trading strategy on your account. Once setup they need no intervention from the trader and will open and close trades in line with their internal algorithms.

MegaDroid is billed as being based on a new technology – RCPTA. This stands for Reverse Correlated Time and Price Analysis. This is a relatively new technology which according to the makers allows the Robot to look ‘forward with accuracy’ rather than simply relying on trends from the past.

The creators of Forex MegaDroid boast of 38 years of combined experience in the Forex markets which they have used as the basis in developing this robot. Therefore the expectations that this robot will perform are high.

Full back test results are available on the website but our view of backtesting makes us question these figures. Back tests are all well and good but we always like to see how systems perform in the real market on live accounts. This was behind our decision to undertake the live test.

MegaDroid is a scalper. This means that it aims to enter the market to make small quick profits, rather than tying down the account with medium to longer term trades. The robot only focuses on one pair, the EURUSD, for this strategy and uses the 1 hour chart timeframe to determine entries.

In our subsequent posts we’ll be covering the mechanics of the robot, our MegaDroid test environment, Forex brokers to use and a bit about the settings we intend to use for our live testing.

And of course our results!