RSI Expert v2.0
This EA trades RSI overbought/oversold reversals, opening buy positions when RSI dips below a configurable oversold threshold and sell positions when RSI rises above an overbought threshold. It includes basic stop-loss and take-profit management along with position sizing controls. The strategy targets mean-reversion opportunities on trending or ranging markets where RSI extremes signal potential price reversals.
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 | -8.86% | -7.74% | 9.68% | 63 | 33.90% | — | — | — | — | Same as other EAs |
| GBPUSD | -2.82% | -2.46% | 6.52% | 73 | 45.80% | — | — | — | — | Same as other EAs |
| USDJPY | +2.87% | +2.49% | 3.55% | 65 | 50.00% | — | — | — | — | Same as other EAs |
| XAUUSD | +60.19% | +47.59% | 51.45% | 85 | 54.10% | — | — | — | — | Same as other EAs |
On every market this backtest is identical to EA-23199. 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 grounded in mean reversion principles of the RSI indicator, assuming that prices tend to revert to the mean after RSI reaches extreme overbought or oversold levels. Entry conditions trigger a buy when RSI falls below the oversold threshold and a sell when RSI rises above the overbought threshold, representing a classic counter-trend trading approach. Exit conditions rely on fixed stop-loss and take-profit levels in points, with no trailing stop or dynamic exit mechanism observed. Position sizing uses either a fixed lot size or a balance-based percentage calculation, lacking adaptive sizing based on market volatility such as ATR. Money management is limited to per-trade risk control via stop-loss, without portfolio-level risk controls or maximum drawdown limits. The strategy is vulnerable to consecutive losses in strong trending markets where RSI can remain in overbought or oversold zones for extended periods without reverting.
Strengths
- Strategy logic is simple and clear, based on the classic RSI overbought/oversold reversal signals that are easy to understand and verify
- Includes stop-loss and take-profit settings providing a basic risk control framework
- Uses a magic number for order management to avoid conflicts with other EAs
- Highly configurable parameters allow users to adjust flexibly for different instruments and market conditions
Weaknesses
- Lacks new bar detection, potentially opening multiple positions on the same bar leading to overtrading
- No trailing stop functionality, profitable positions may give back gains during price retracements
- Mean reversion strategy is prone to consecutive losses in strong trending markets
- No spread filter included, trading costs in wide-spread environments may erode profits
- Missing overall position and maximum drawdown controls, multiple losing trades could cause significant capital loss
Possible improvements
- Add new bar detection to ensure trading signals execute only once per bar and prevent duplicate entries
- Implement trailing stop to lock in floating profits and use ATR-based dynamic stop-loss/take-profit distances
- Add a trend filter (e.g., moving average direction) to only enter trades aligned with the prevailing trend for higher win rate
- Implement portfolio-level money management based on account equity and maximum drawdown limits
Risk assessment
Overall risk: Medium
- Missing new bar detection may cause duplicate entries on the same bar increasing risk exposure
- Mean reversion strategy can produce consecutive losses in trending markets
- No spread filter may be detrimental in high-cost trading environments
- Fixed-point stop-loss does not account for changes in market volatility
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
RSI_Period | 14 | RSI indicator period |
RSI_Overbought | 70 | RSI overbought threshold |
RSI_Oversold | 30 | RSI oversold threshold |
Stop_Loss | 200 | Stop loss in points |
Take_Profit | 400 | Take profit in points |
Lot_Size | 0.1 | Trading lot size |
Magic_Number | 22458 | EA magic number for order identification |
Similar Mean Reversion EAs
Backtests are historical simulations and do not guarantee future results. Not financial advice.