Patterns_EA
Patterns_EA is an Expert Advisor that detects classic Japanese candlestick patterns (such as Engulfing, Hammer, Doji, etc.) and automatically enters trades based on those pattern signals. It applies technical confirmation filters to reduce false signals and manages open positions with stop-loss and take-profit levels. The EA operates systematically, scanning for pattern formations on each new bar and executing trades without manual intervention.
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 strategy of this EA is to identify classic Japanese candlestick patterns such as bullish/bearish engulfing, hammer, inverted hammer, morning/evening star and other reversal signals. Entry conditions: when the EA detects a valid completed candlestick pattern, it optionally confirms with a trend filter (e.g., moving average direction) before entering on the next bar's open. Exit conditions include fixed stop-loss and take-profit, pattern-invalidation stops, and an optional trailing stop. Position sizing uses either fixed lots or a percentage-based lot calculation derived from account balance. Money management incorporates a risk percentage parameter to control the maximum loss per trade, along with a maximum open positions limit to prevent overexposure. The strategy's strength lies in candlestick patterns being time-tested price action signals with intuitive market psychology meaning, but its weakness is that candlestick patterns generate many false signals in ranging markets, requiring trend filter cooperation for reliable performance.
Strengths
- Based on classic candlestick patterns with transparent strategy logic verified over decades of market data
- Trend filter effectively reduces false signals in ranging/sideways markets
- Complete risk management mechanism including stop-loss, take-profit, and maximum position limits
- Flexible parameter design supporting both fixed lot and risk-percentage position sizing modes
- Supports multiple candlestick pattern recognition providing broad strategy coverage
Weaknesses
- Candlestick patterns can still generate excessive false signals in choppy/ranging markets leading to consecutive losses
- Lacks ATR-based adaptive mechanism; fixed pip stop-loss and take-profit are inflexible across different volatility regimes
- No spread filter included, potentially disadvantageous on lower timeframes or high-spread instruments
- Pattern recognition relies on single or few candles, missing multi-timeframe confirmation for improved reliability
- No trading session filter implemented, potentially causing unfavorable fills during low-liquidity periods
Possible improvements
- Introduce ATR-based dynamic stop-loss and take-profit that automatically adjusts exit levels based on market volatility
- Add multi-timeframe confirmation requiring higher-timeframe trend alignment before entering positions
- Implement spread filter and trading session filter to avoid high-cost and low-liquidity period trading
Risk assessment
Overall risk: Medium
- Fixed stop-loss and take-profit may be insufficient during extreme volatility, risking larger-than-expected single-trade losses
- Candlestick pattern signals fire frequently in trendless markets, potentially accumulating consecutive small losses
- Lack of spread filter can cause significant real-world slippage cost increase in high-spread environments
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
LotSize | 0.1 | Fixed trading lot size |
StopLoss | 500 | Stop loss in points |
TakeProfit | 1000 | Take profit in points |
MaxPositions | 3 | Maximum simultaneous positions |
UseTrendFilter | true | Enable trend filter |
TrendMA_Period | 200 | trendfilter MA period |
RiskPercent | 2.0 | Risk percentage per trade |
TrailingStop | 0 | Trailing stop points; activates when price reaches this distance |
PatternStrength | 2 | Pattern strength filter level (1-3) |
MagicNumber | 20074 | EA unique magic number identifier |
Timeframe | H4 | Trading timeframe |
Similar Candlestick Pattern EAs
Backtests are historical simulations and do not guarantee future results. Not financial advice.