AlliHeik
This EA combines the Alligator indicator with Heikin Ashi candles to identify and follow trending market conditions. It enters long positions when the Alligator lines are spread upward and Heikin Ashi confirms bullish momentum, and enters short positions when the Alligator lines spread downward with bearish Heikin Ashi confirmation. The strategy aims to capture medium-to-long-term trend movements while using Heikin Ashi smoothing to filter out market noise.
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 | -2.83% | -2.47% | 6.68% | 141 | 45.00% | -0.65 | -0.42 | 9 | −$2.26 | Reliable |
| GBPUSD | -3.39% | -2.95% | 5.00% | 142 | 44.00% | -0.55 | -0.68 | 10 | −$2.57 | Reliable |
| USDJPY | -6.52% | -5.69% | 8.89% | 141 | 44.30% | -1.13 | -0.73 | 6 | −$4.54 | Reliable |
| XAUUSD | -100.00% | -100.00% | 100.00% | 38 | 44.70% | -1.43 | -1.00 | 6 | −$274.54 | Account stopped out |
Profitable on 0 of 4 markets with reliable results.
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.
Against the other Trend Following EAs with a reliable result on the same market: EURUSD: better than 27% of 95 · GBPUSD: better than 22% of 95 · USDJPY: better than 9% of 95 · XAUUSD: better than 0% of 96
Month by month
| Market | Months with a gain | Best month | Worst month |
|---|---|---|---|
| EURUSD | 31% | +2.24% 2026-10 | -1.43% 2026-03 |
| GBPUSD | 31% | +2.06% 2026-06 | -1.67% 2026-07 |
| USDJPY | 38% | +1.12% 2025-11 | -3.34% 2026-05 |
| XAUUSD | 25% | +15.50% 2025-11 | -100.00% 2026-02 |
From the backtest equity curve, sampled about every two days; only reliable results.
Blow-up risk: High
- Hit a stop-out in our backtest (equity below 10%) on XAUUSD
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 uses Bill Williams' Alligator indicator to determine trend direction and strength, combined with Heikin Ashi candlestick smoothing for entry timing confirmation. Entry conditions require the Alligator's three smoothed moving averages (Lips, Teeth, Jaw) to be diverging, signaling trend initiation, while Heikin Ashi candles must align with the trend direction. A long entry requires Lips above Teeth above Jaw with bullish Heikin Ashi candles; a short entry requires the inverse. Exit conditions typically rely on Alligator line convergence or Heikin Ashi color reversal as signals of trend exhaustion. Position sizing generally uses fixed lots or a balance-based percentage calculation. Money management is relatively basic, lacking dynamic stop-loss and trailing stop mechanisms, primarily relying on indicator signal reversals for exits, which can cause repeated losses in ranging markets.
Strengths
- The Alligator and Heikin Ashi combination effectively filters market noise and reduces false signals
- Trend following strategy has strong profit potential in clear directional markets
- Heikin Ashi smoothing helps traders stay in positions by filtering short-term volatility and avoiding premature exits
Weaknesses
- Lacks explicit stop-loss mechanism, which can lead to significant losses during trend reversals
- The Alligator lines frequently cross in ranging markets, generating many false signals and causing repeated losing trades
- Position sizing is simple and fixed, without volatility-adaptive or dynamic risk control considerations
Possible improvements
- Add ATR-based dynamic stop-loss and trailing stop mechanisms to protect profits and control risk
- Add a ranging market filter (such as ADX or volatility channels) to pause trading when trend strength is low
- Optimize position sizing to use dynamic lot calculation based on account risk percentage and ATR
Risk assessment
Overall risk: Medium
- Default stop-loss of 0 means no loss protection; extreme market moves could blow the account
- Lack of ranging market filter leads to frequent false signal entries and consecutive losses in sideways markets
- Fixed lot sizing without dynamic adjustment based on account balance and volatility results in uncontrolled risk exposure
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
LotSize | 0.1 | Hedge lock lot size |
AlligatorJawPeriod | 13 | Alligator jaw period |
AlligatorTeethPeriod | 8 | Alligator teeth period |
AlligatorLipsPeriod | 5 | Alligator lips period |
AlligatorShift | 8 | Alligator indicator forward shift |
MagicNumber | 12345 | EA magic number to identify its orders |
StopLoss | 0 | Stop loss in points, 0 means no stop loss |
TakeProfit | 0 | Take profit in points, 0 means no take profit |
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Backtests are historical simulations and do not guarantee future results. Not financial advice.