MACDSimpleReshetov
This EA implements a simple MACD-based trading strategy credited to Reshetov. It generates buy signals when the MACD histogram crosses above zero and sell signals when it crosses below zero, opening positions in the direction of the momentum shift. The strategy is a classic momentum-following approach using the MACD indicator as its sole signal source.
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 | +1.39% | +1.21% | 3.98% | 130 | 47.30% | — | — | — | — | Same as other EAs |
| GBPUSD | +3.37% | +2.92% | 3.45% | 129 | 49.20% | — | — | — | — | Same as other EAs |
| USDJPY | -5.99% | -5.23% | 9.13% | 129 | 52.70% | — | — | — | — | Same as other EAs |
| XAUUSD | -39.73% | -34.19% | 75.80% | 136 | 48.90% | — | — | — | — | Same as other EAs |
On every market this backtest is identical to EA-17136, EA-20010. The automatic conversion almost certainly lost what makes this EA different (a custom indicator, a filter or the money management), so these results are not ranked or counted.
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
None of the usual blow-up patterns were found in the code, 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 strategy concept is based on momentum shifts detected by the MACD indicator, using the crossover of the MACD histogram with the zero line as trading signals. Entry conditions: a buy position is opened when the MACD histogram crosses above zero, and a sell position is opened when it crosses below zero. Exit conditions rely on opposing signals — a long position is closed (and a short opened) when the histogram crosses below zero, and vice versa. Position sizing uses a fixed lot size without dynamic adjustment based on account equity, volatility, or risk percentage. Money management is rudimentary, lacking explicit stop-loss and take-profit levels, depending entirely on signal reversal for position closure. Overall, this is a typical single-indicator momentum strategy with simple logic but weak risk controls.
Strengths
- Simple and clear strategy logic, easy to understand and verify
- MACD is a well-established classic momentum indicator that performs well in trending markets
- Clean code structure facilitates modification and extension with additional filters
- Zero-line crossover signals are objective and unambiguous with no room for subjective interpretation
Weaknesses
- Lacks stop-loss and take-profit, risking significant losses during extreme market moves
- Single-indicator strategy prone to frequent whipsaws and repeated losses in ranging/choppy markets
- Fixed lot size ignores account equity ratio, unable to dynamically adjust position based on risk
- No check for existing positions in the same direction, potentially causing duplicate entries
- No new bar check mechanism, may trigger multiple trades on the same bar
Possible improvements
- Add stop-loss and take-profit parameters with a trailing stop to protect realized profits
- Introduce a trend filter (e.g., higher timeframe MA direction) to avoid frequent trading in ranging markets
- Implement new bar check and position check logic to prevent duplicate entries and multiple trades per bar
- Implement dynamic position sizing based on account equity ratio to control per-trade risk within acceptable limits
Risk assessment
Overall risk: High risk
- No stop-loss, single trade loss can expand indefinitely
- No existing position check, may duplicate positions and amplify risk exposure
- Missing new bar check, risk of opening multiple positions on the same bar
- MACD zero-line crossovers generate frequent false signals in choppy markets leading to consecutive losses
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
LotSize | 0.1 | Fixed trading lot size |
MACDFastEMA | 12 | MACD fast EMA period |
MACDSlowEMA | 26 | MACD slow EMA period |
MACDSignalSMA | 9 | MACD signal SMA period |
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Backtests are historical simulations and do not guarantee future results. Not financial advice.