BHS system
The BHS system EA is a trend-following expert advisor that identifies market direction using a combination of moving averages and momentum indicators, entering trades when trend conditions align. It manages positions with defined stop loss and take profit levels while applying trailing stop functionality to protect profits as the trend progresses. The system operates systematically on higher timeframes to capture sustained directional moves.
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 BHS system employs a multi-moving average crossover strategy with momentum confirmation, entering long positions when the short-term MA crosses above the long-term MA and momentum indicators support the directional bias, and vice versa for short positions. Entry conditions require alignment between the trend direction and momentum readings to avoid excessive trading in ranging markets. Exit conditions include fixed stop loss and take profit levels along with a trailing stop mechanism that automatically adjusts the stop level as price moves favorably to lock in profits. Position sizing uses either fixed lot sizes or a percentage-based calculation tied to account balance, ensuring controlled risk per trade. Money management incorporates maximum position limits and drawdown protection to prevent oversized losses from a single erroneous trend assessment. The overall strategy logic is clear, but significant drawdowns can occur at trend reversal points where the system remains committed to the fading trend.
Strengths
- Clear strategy logic based on well-established trend following principles, suitable for markets with strong directional movement
- Multi-confirmation mechanism reduces false signals by combining MA crossover with momentum filtering for higher quality entries
- Trailing stop mechanism effectively protects floating profits and reduces the risk of giving back gains
- Highly configurable parameters allow traders to flexibly optimize for different instruments and timeframes
- Maximum position limits prevent overtrading and keep risk under control
Weaknesses
- Trend following strategy prone to consecutive losses in ranging markets, lacking range detection and adaptive mechanisms
- Fixed stop loss and take profit ignore market volatility changes, potentially too tight during high volatility or too distant during low volatility
- Lacks new bar check mechanism, potentially opening duplicate positions within the same bar
- No spread filter included, which may cause unnecessary losses on instruments with wide spreads
- Drawdown protection is insufficient, potentially bearing significant losses during extreme market conditions
Possible improvements
- Add adaptive range/trend market detection to automatically reduce trading frequency or pause trading during ranging conditions
- Introduce ATR-based dynamic stop loss and take profit that automatically adjusts distances based on market volatility for improved adaptability
- Add new bar check and spread filter to prevent duplicate position openings and unfavorable entries during wide spread conditions
Risk assessment
Overall risk: Medium
- Fixed stop loss may be gapped through during extreme volatility, resulting in actual losses exceeding expectations
- Strategy lag is significant at trend reversals, potentially enduring substantial floating losses before stop loss triggers
- Lacks a hard equity drawdown percentage stop, leaving significant account risk exposure in extreme scenarios
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
Lots | 0.1 | Fixed trading lot size |
StopLoss | 50 | Stop loss in points |
TakeProfit | 100 | Take profit in points |
TrailingStop | 30 | Trailing stop in points |
TrailingStep | 5 | Trailing stop step |
FastMA_Period | 10 | Fast moving average period |
SlowMA_Period | 50 | Slow moving average period |
MA_Method | MODE_SMA | Moving average calculation method |
RSI_Period | 14 | RSI indicator period |
RSI_Level_Buy | 30 | RSIbuy threshold |
RSI_Level_Sell | 70 | RSIsell threshold |
MagicNumber | 12345 | EA magic number |
MaxPositions | 3 | Maximum positions |
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Backtests are historical simulations and do not guarantee future results. Not financial advice.