Smoothing Average
This EA trades based on a smoothing average (likely a custom or multi-layered moving average) crossover system. It generates buy signals when price or a fast smoothing average crosses above a slow smoothing average, and sell signals on the reverse crossover. The strategy systematically enters and exits positions based on these smoothed trend signals.
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 | -0.27% | -0.24% | 3.79% | 110 | 48.60% | — | — | — | — | Same as other EAs |
| GBPUSD | +6.63% | +5.74% | 3.89% | 108 | 51.90% | — | — | — | — | Same as other EAs |
| USDJPY | +2.10% | +1.82% | 4.75% | 99 | 49.50% | — | — | — | — | Same as other EAs |
| XAUUSD | +1.98% | +1.63% | 52.23% | 105 | 50.00% | — | — | — | — | Same as other EAs |
On every market this backtest is identical to EA-16787, EA-16877, EA-17274, EA-17489, EA-17741, EA-19089, EA-20222, EA-20527 and others. 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 core concept of this strategy is to use a smoothing average to filter market noise, identify trend direction, and follow trends for trading. Entry conditions typically involve going long when a fast smoothing average crosses above a slow smoothing average, and going short on the reverse crossover, with these crossover signals representing trend shifts. Exit conditions may include closing positions on reverse crossover signals, fixed take-profit and stop-loss levels, or trailing stops. Position sizing may use fixed lot sizes or dynamic lot calculation based on account equity percentage depending on parameter settings. Money management may include maximum position limits and risk control parameters, though specifics depend on configuration. Overall, this is a classic trend-following system that performs well in strong trending markets but is prone to frequent false signals and consecutive losses in ranging or choppy conditions.
Strengths
- Smoothing average effectively reduces market noise and decreases false signal frequency
- Trend-following strategy has strong profit potential in clear directional markets
- Simple and intuitive parameters make it easy for users to understand and optimize
- Systematic execution eliminates emotional interference from trading decisions
Weaknesses
- Moving average crossover signals are lagging, often entering after the trend has largely played out
- Frequent crossovers in ranging markets lead to consecutive losses and commission erosion
- Lacks adaptive mechanism to dynamically adjust parameters based on market volatility
- Stop loss set to 0 poses extreme risk, potentially leading to significant drawdowns
Possible improvements
- Add a market regime filter (e.g., ADX or volatility indicator) to reduce trade frequency in ranging markets
- Implement dynamic stop-loss and trailing stop mechanisms to protect profits and control risk
- Introduce multi-timeframe confirmation to improve signal reliability
Risk assessment
Overall risk: Medium
- Default stop loss parameter may be 0, posing unlimited loss risk
- Moving average crossover strategy prone to consecutive losses in ranging markets
- Lacks position count checks and account equity drawdown protection limits
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
FastPeriod | 10 | fastsmoothing MA period |
SlowPeriod | 30 | slowsmoothing MA period |
LotSize | 0.1 | Fixed trading lot size |
StopLoss | 0 | Stop loss in points, 0 means no stop loss |
TakeProfit | 0 | Take profit in points, 0 means no take profit |
SmoothingMethod | 0 | Smoothing method (0=Simple, 1=Exponential, etc.) |
MagicNumber | 22653 | Magic number identifier for EA orders |
Similar Trend Following EAs
Backtests are historical simulations and do not guarantee future results. Not financial advice.