"Forex Funnel EA" is another martingale family EA.
My friend recommend me to test Forex Funnel EA because he said it survive on 6 October strong down trend 400 pips.
So I decided to test it on 10 October 2008. I found that Forex Funnel almost same with "FxProMaker EA"
* Use USD/JPY pair.
* After attach the EA, Ea will open Buy and Sell at the same time.
* Use pending order.
The differences :
FXPROMAKER:
* If price going up,
Buy will hit TP and open another buy
Sell will open martingale sequences
* If price going down,
Sell will hit TP and open another sell
Buy will open martingale sequences
Forex Funnel:
* If price going up,
Buy will hit TP and open another buy
Sell will open martingale sequences
* If price going down,
Sell will hit TP and open another sell
Buy don't open martingale sequences
That's the only main different.
On 6 October FxProMaker Hit margin call because USDJPY pair have strong down trend 400 pips but Forex Funnel don't get margin call, because when downtrend Forex Funnel don't open martingale sequences. I said it's lucky, why? Read below.
I test it using recommended balance in the manual $25K and open 0,1 lot. Leverage 1:500. The result is Margin Call on 13 October 2008. WHy? Because on 13 Oct 08 at 15:00 (GMT+3) USDJPY make strong up trend more than 300 pips. When uptrend, Forex Funnel EA will open martingale sequences on sell order and $25K balance is not enough to hold 10 Level.
You can download detailed statement dated 14 October 2008
For Indonesia Version, click here
Wednesday, October 15, 2008
Forex Funnel EA
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14 comments:
wonder if it is possible to use a different pair than USD/JPY with forex funnel? It seems that JPY pairs are just too volatile..... thoughts? What about EUR/GBP?
Hi Anonymous,
EUR/GBP maybe a good pair for forex funnel, but remember u need double balance as Pip Value for EUR/GBP is almost double compare to the major pairs
As any other martingale system, the EA is good in ranging market. Yet not in trending market.
This EA has been designed for USD/JPY which has low spread and considerable ranging market. It is obvious with the certain TP value and sell limit order value. Any other pairs may bot be fitted for this EA.
Another pair you may consider is EUR/USD which will put hedging positions with USD/JPY.
I've been testing it on $5,000 standard account margin for these 2 pairs in the same account. The result has been good so far. Within 3 weeks the account grows into $13K so far with only -$600 floating minuses.
Hi
I have a review of forex funnel up on my blog. you can find it here:
http://www.macrotactics.com/2008/08/25/forex-funnel-review-and-a-bit-about-the-expert-advisor-business/
btw. I find it interesting that you had a negative result. A couple of people I know have traded the system over the same time frame and did not have their accounts blow up.
I am wondering what broker you are using and how much leverage you used to get your result.
I see what you are all saying. Thanks for that feedback. I guess I just think that especially the JPY currencies have been extremely volatile lately, and it has even wiped out accounts that have followed proper money management such as FXpromaker because of a big move in USD/JPY without retracement. I am sure this can happen again.... I believe something similar happened October 13th with this EA with a big upward move without retracement.....
I liked the idea of hedging with another pair, but how would the EUR/USD be a hedge? Isn't it primarily the JPY currency that we are worried about?
Hi caprica I use Leverage 1:500
Deposit 25K open 0.1 lot
I think for martingale ea, higher leverage will be better.
Hi Anonymous, lately USDJPY pair move like crazy, but I see that Magician EA (which is martingale too) can survive those two crazy movement.
I will post my forward test result this weekend.
In normal market, usually GBP/USD as well as EUR/USD moves on different direction with USD/JPY. Usually USD/JPY moves in smaller range.
I just thought when I put them together in same account then they will put hedging positions. So when market moves up or down I hope I still can have some profits.
But beware when both of the move in the same direction (especially strong bullish move as of October 13th).
I usually turn off the EA on US session.
You can find my complete review here : http://www.abiyanto.net/?p=138
Hi Abiyanto, I saw your review, maybe I should test it not using vps :D
Will keep an eye to your update buddy.
Hi DuyDuy
Thanks for responding
Are you using standard sized 100K lots or 10K sized mini lots?
Hi Caprica,
I'm using standart 100K lots, it's $1 per pips movement.
Here, recommended by the manual
Please note: we recommend a minimum of $2500 equity per 0.01 lot traded so if you wish to trade 0.1 lots then you should have $25,000 equity. The system has been used successfully trading 0.02 lots per $2500 or 0.01 lot per $1250 but we recommend the first scenario if possible.
So i use $25K open 0.1 lot :D
Hi Duyduy,
You still can test it on your VPS. But you better turn it off in US session or when the market is in strong trend while your EA already opened more than 6 level open orders.
Good luck !
Hey duyduy, I think I might know why you got stopped out on margin call on the 10/14/08 when USD/JPY was uptrending without retracement, while the others did not. This could be because your account was in FXOpen. FXOpen's maximum lot size is 1000, so Forexfunnel will continue to open more trades, as the uptrend continues. You said it opened 10 level.. and if they were all losing significantly, it would have required a huge margin, certainly more than what you had in your account. So, it would stop you out at some point.
However, most people who have brokers like IBFX and FXDD, their maximum lot size is only 50, which means it is likely to open less than 10 trades per this requirement. For example, the recommended $50,000 for 0.2 lot would open 8 trades. These are lots 0.2, 0.4, 0.8, 1.6, 3.2, 6.4, 12.8, and 25.6. Next one is 51.2 and it simply won't be opened because it is over 50. Back testing showed, if it opened only 6 trades, eventually the price retraced back down and this huge losing trades would have ended in profit.
Also, what you could have tried is to close the largest size trade before the margin stops you out, which would keep your account alive for more time, and realizing that this trade is not there, Forexfunnel will open another one at some time, which could be from higher price that could help winning this trade.
Hi Anonymous, u r right. Max lot in FXOPEN is 1000 lot. I think in the next release, Forex Funnel EA must have max level trade, so we can set it in the EA paramater for example 6 or 8 max level.
So we won't be worry about every broker rule about max lot :D
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