Exp_ColorBears.mq5
This EA trades based on the ColorBears custom indicator, which uses dual-smoothed bearish momentum to generate buy and sell signals. It opens buy positions when the indicator transitions from bearish to bullish color (0→2) and sell positions when it transitions from bullish to bearish color (2→0), with configurable position closing on signal reversals.
Open the interactive view (equity curve, symbol switch)Key facts
Backtest results (H1, about 1 year)
Not backtested yet — this EA could not be converted automatically.
Strategy analysis
The EA's strategy concept is based on the ColorBears indicator's dual-smoothed momentum assessment, using two layers of different smoothing algorithms (the first for the indicator itself, the second for the signal line) to filter market noise. Entry conditions: a buy position opens when indicator buffer 1 at SignalBar equals 0 (no bearish momentum) and buffer 0 equals 2 (bullish signal color); a sell position opens when buffer 1 equals 2 (bearish momentum) and buffer 0 equals 0 (no bullish momentum). Exit conditions rely on signal reversal: when an opposite signal appears, positions close based on BuyPosClose and SellPosClose parameters, with fixed StopLoss and TakeProfit levels. Position sizing supports five modes: fixed lot, balance-based, equity-based, free margin-based, and loss-adjusted balance calculation. Money management is controlled via the MM parameter for risk ratio and MMMode for the specific calculation method, but there is no dynamic adjustment or scale-in/scale-out mechanism.
Strengths
- Dual smoothing algorithm effectively filters market noise and reduces false signals
- Supports 10 smoothing methods and 10 price types for high flexibility
- Buy and sell directions can be independently controlled for both opening and closing
- Uses IsNewBar() for new bar detection, preventing repeated trades within the same bar
- Provides 5 money management modes to accommodate different risk preferences
Weaknesses
- Lacks spread filter, which may trigger false signals frequently in high-spread environments
- Default SL 1000/TP 2000 points are excessively wide without dynamic ATR-based adjustment
- No position count check, potentially opening duplicate positions in the same direction
- ColorBears is a custom indicator requiring external files, making deployment complex
- Missing drawdown control and maximum position limits as risk protection mechanisms
Possible improvements
- Add ATR-based dynamic stop loss/take profit that auto-adjusts based on market volatility
- Add spread filter and maximum position check to improve stability under adverse market conditions
- Add trailing stop functionality to lock in profits during trend continuation
Risk assessment
Overall risk: Medium
- No position count limit, potentially over-exposing in the same direction with duplicate positions
- Fixed SL/TP does not adapt to market volatility changes, potentially too wide in low volatility or too narrow in high volatility
- Depends on custom indicator file; if indicator fails to load, EA cannot run but lacks auto-protection
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
MM | 0.1 | Money management ratio or lot size |
MMMode | LOT | Position sizing mode: free margin/balance/margin minus loss/fixed lot |
StopLoss_ | 1000 | Stop loss in points |
TakeProfit_ | 2000 | Take profit in points |
Deviation_ | 10 | Maximum slippage |
BuyPosOpen | true | Allow opening long positions |
SellPosOpen | true | Allow opening short positions |
BuyPosClose | true | Allow closing long positions on signal reversal |
SellPosClose | true | Allow closing short positions on signal reversal |
InpInd_Timeframe | PERIOD_H12 | Indicator timeframe |
MA_Method1 | MODE_SMA | First-level smoothing method |
Length1 | 12 | First-level smoothing period |
Phase1 | 15 | First-level smoothing phase parameter |
MA_Method2 | MODE_JJMA | Signal line smoothing method |
Length2 | 5 | Signal line smoothing period |
Phase2 | 15 | Signal line smoothing phase parameter |
IPC | PRICE_CLOSE | Applied price type |
SignalBar | 1 | Signal detection bar index |
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Backtests are historical simulations and do not guarantee future results. Not financial advice.