Finishing in third place in the recently concluded Forex Robot World Cup was an EA called SuperVolcano. This robot registered a solid 36.25% increase during the two-month competition.
It was a fairly active EA, opening and closing 126 trades, with another 4 trades open (all in positive territory) at the time the competition ended. That’s an average of almost three trades per day.
Of the 126 closed trades, 75 (or almost 60%) were winners. The average winning trade was $7.70, and the average losing trade was $4.21. Those are excellent risk-reward numbers and a recipe for a winning system. The largest winning trade was $37.15, and the largest losing trade was $34.51. The maximum drawdown was a healthy 4.98%.
SuperVolcano only traded on the GBP/JPY pair during the competition, and it used a constant lot size of .01 lots. No stop loss or take profit levels were recorded on the official trade record, so we can’t make any meaningful observations on those at this point. Looking at the execution times of the trades, however, it would appear that this robot employed some sort of hedging strategy as its main engine. Given that FXCM is an NFA-regulated broker, I am very interested to find out how they were able to trade this robot on FXCM, as the NFA does not allow for the establishing of hedged positions with the same lot size. I will be looking into this further and will report back.
In summary, this robot looks like a solid performer with minimal risk. It will be a great addition to the robot package that the Forex Robot World Cup will be putting on sale on February 16! We’re almost there, folks!
2 Comments until now.
Hi. Thanks for the update. FXCM MT4 platform is only run through the UK division which allows hedging and is non FIFO compatible.
You are correct, Jeff. I contacted the FRWC, and they told me they were using FXCM UK when testing the robots. I just assumed they had used the US division, which was a mistake on my part. So that sufficiently explains everything. Thanks again for your comments!
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