MultiHedg
MultiHedg is a multi-symbol hedging EA that opens opposing positions across correlated or selected currency pairs to reduce directional risk. It simultaneously manages long and short positions on multiple instruments, aiming to profit from relative price movements rather than absolute market direction. The EA uses a correlation-based approach to select hedging pairs and manages positions with configurable lot sizing and exit rules.
Open the interactive view (equity curve, symbol switch)Key facts
Backtest results (H1, about 1 year)
| Symbol | P&L | Annual | Max DD | Trades | Win rate | Sharpe | Recovery | Losing streak | Per trade | Status |
|---|---|---|---|---|---|---|---|---|---|---|
| EURUSD | 0.00% | 0.00% | 0.00% | 0 | — | — | — | — | — | Not convertible yet |
| GBPUSD | 0.00% | 0.00% | 0.00% | 0 | — | — | — | — | — | Not convertible yet |
| USDJPY | 0.00% | 0.00% | 0.00% | 0 | — | — | — | — | — | Not convertible yet |
| XAUUSD | 0.00% | 0.00% | 0.00% | 0 | — | — | — | — | — | Not convertible yet |
Why this EA never traded: no entry rule survived the conversion.
Converted from MQL5 to Python and run with the same rules for every EA. Positions use MT5 lot sizes (100,000 units per FX lot, 100 oz per gold lot) with 1:100 leverage, one order at a time, and a stop-out below 10% of the starting balance. Sharpe is computed from the equity curve. Results marked as unreliable are shown for completeness only.
Blow-up risk: No blow-up pattern found
- Has no stop loss or trailing stop
On its own this is not a typical blow-up pattern, and the account was not stopped out in our backtests. That is not a guarantee: any EA can lose money.
High: stopped out in our backtest, or martingale/grid sizing without a stop loss. Elevated: martingale or grid sizing with a stop loss, or several positions at once without a stop loss. What the label means and what we found →
Strategy analysis
The core concept of MultiHedg is to reduce directional market risk by simultaneously opening long and short positions across multiple correlated currency pairs. Entry conditions are based on inter-instrument correlation and price divergence, opening hedge positions when the spread between correlated pairs widens beyond a threshold. Exit conditions typically trigger when the spread reverts to its mean or when a target profit level is reached, with some versions including stop-loss mechanisms. Position sizing uses either fixed lots or volatility-based lot calculation to ensure roughly balanced position values on both sides of the hedge. Money management allows configuration of maximum position counts and overall risk exposure limits, though some versions lack strict account-level equity management modules. The strategy depends heavily on the stability of inter-instrument correlations, and a correlation breakdown can result in losses on both sides of the hedge simultaneously.
Strengths
- Multi-instrument hedging effectively reduces directional market risk, performing steadily in ranging markets
- Strategy logic is relatively intuitive with high parameter configurability for optimization and adjustment
- Trading multiple instruments simultaneously helps diversify risk and avoid concentrated single-instrument exposure
- The statistical basis of correlation reversion has long-term rationality
Weaknesses
- Heavily dependent on stability of inter-instrument correlations; correlation breakdown can cause double losses
- Hedge positions occupy double margin, resulting in lower capital efficiency
- Lacks dynamic correlation monitoring; historical correlation does not guarantee future performance
- May suffer persistent floating losses in trending markets due to sustained one-sided divergence
- Multi-instrument trading increases slippage and spread costs
Possible improvements
- Add dynamic correlation monitoring module that automatically reduces or closes hedge positions when correlation drops below threshold
- Introduce adaptive lot sizing mechanism that dynamically adjusts position size based on account equity and volatility
- Add emergency close-out mechanism for correlation breakdown and stricter account-level risk control rules
Risk assessment
Overall risk: Medium
- Correlation breakdown can cause simultaneous losses on both sides of the hedge
- Multi-instrument positions occupy significant margin, risking margin call in extreme market conditions
- Lacks dynamic correlation monitoring and adaptive adjustment mechanisms
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
LotSize | 0.1 | Lot size per trade |
MaxPositions | 10 | Maximum positions |
TakeProfit | 500 | Take profit in points, locks profit target per trade |
StopLoss | 1000 | Stop loss in points, limits max loss per trade |
CorrelationPeriod | 100 | Correlation calculation period |
HedgePairs | Hedge currency pair list | |
MagicNumber | 17766 | Magic number for closing, 0 for all positions |
TimeFrame | H1 | Trading timeframe |
Similar Hedging EAs
Backtests are historical simulations and do not guarantee future results. Not financial advice.