Three Typical Candles
This EA identifies a specific three-candle pattern formation to generate trading signals. It enters positions when three consecutive typical candles meet predefined criteria, suggesting a potential reversal or continuation move. The system applies fixed take-profit and stop-loss levels to manage trades automatically.
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 | -0.48% | -0.42% | 3.69% | 128 | 40.90% | -0.07 | -0.13 | 6 | −$0.64 | Reliable |
| GBPUSD | -4.23% | -3.69% | 7.02% | 129 | 40.60% | -0.64 | -0.60 | 11 | −$3.54 | Reliable |
| USDJPY | -7.14% | -6.23% | 9.20% | 124 | 41.90% | -1.16 | -0.78 | 6 | −$5.76 | Reliable |
| XAUUSD | -90.95% | -86.26% | 94.37% | 108 | 50.90% | -1.04 | -0.96 | 9 | −$84.21 | 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.
Month by month
| Market | Months with a gain | Best month | Worst month |
|---|---|---|---|
| EURUSD | 31% | +1.97% 2026-03 | -0.96% 2025-12 |
| GBPUSD | 54% | +4.01% 2026-03 | -4.80% 2026-02 |
| USDJPY | 23% | +1.28% 2025-11 | -2.32% 2026-09 |
| XAUUSD | 38% | +25.71% 2026-06 | -80.61% 2026-07 |
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 of this EA is based on identifying a three-candle pattern formation to determine market direction. Entry conditions require three consecutive candles forming a specific pattern combination (such as three white soldiers, three black crows, or their variants), after which a long or short position is opened. Exit conditions rely on preset fixed take-profit and stop-loss values, with some versions possibly including a trailing stop feature. Position sizing employs fixed lot sizes or lot calculation based on account equity percentage. Money management is relatively basic, typically using a fixed risk ratio or fixed lots without dynamic adjustment mechanisms. The overall strategy logic is simple and intuitive but has limited adaptability to different market conditions, potentially generating numerous false signals in ranging markets.
Strengths
- Strategy logic is simple and clear, easy to understand and verify
- Candlestick pattern-based trading has intuitive market significance
- Fixed take-profit and stop-loss provide defined risk control boundaries
Weaknesses
- Candlestick pattern recognition easily generates false signals in ranging markets
- Lacks market environment filtering mechanism, cannot distinguish trending from consolidating markets
- Money management is basic, does not consider volatility for dynamic position sizing
Possible improvements
- Add a trend filter (such as moving average or ATR) to avoid trading in ranging markets
- Introduce ATR-based dynamic take-profit and stop-loss to adapt to different volatility environments
Risk assessment
Overall risk: Medium
- Lacks new bar check mechanism, may repeatedly open positions within the same bar
- Fixed stop-loss does not consider market volatility, may be too wide in low volatility and too narrow in high volatility
Evaluation scores
Parameters
| Parameter | Default | Description |
|---|---|---|
LotSize | 0.1 | Fixed lot size, used when MMRec is disabled |
StopLoss | 500 | Stop loss in points |
TakeProfit | 1000 | Take profit in points |
MagicNumber | 123456 | EA magic number for identifying its own orders |
Timeframe | H1 | Trading timeframe |
Similar Candlestick Pattern EAs
Backtests are historical simulations and do not guarantee future results. Not financial advice.