The News Trader EA is an expert advisor developed for use on the Metatrader 4 trading platform. It is designed to trade high/medium/low impact news events and place pending orders in both buy/sell directions just before the news release. The EA’s strategy is based on taking advantage of market momentum that results from news releases, without the need for any technical indicators.
In this article, we will review the News Trader EA’s features, strengths, and weaknesses. By the end of this review, traders will have a good understanding of the News Trader EA and will be able to decide whether it is suitable for their trading needs.
News Trader EA Strategy
The Automatic Forex News Trader EA is designed to trade high/medium/low impact news events by placing pending orders in both buy/sell directions just before the news release. This allows traders to take advantage of market momentum when the news is released. The EA can be used on any currency pair but is recommended for GBPUSD, AUDUSD, USDJPY, and EURUSD, and can work on any timeframe.
The EA does not use any indicators but simply relies on high impact news to open trades. Once the order is executed, a stop loss and take profit order are automatically added. The EA also allows traders to set their own news trade preferences in the inputs section. It is not based on dangerous trading methods like martingale, grid, or hedging.
One of the strengths of this EA is that it can use the Average True Range indicator to automatically choose stop-loss and take-profit levels based on the preceding volatility of the currency pair. This is intended by the developer to help mitigate risk. Additionally, the EA can use a fixed lot or auto lot to automatically increase the size of the transaction according to the specified criteria.
However, the weakness of this EA is that it relies heavily on news events and may not perform well in the absence of significant news releases. Furthermore, the performance of the EA is heavily dependent on the quality of news sources used, and inaccurate or delayed news can lead to unexpected outcomes.
The risk management in this EA is mainly through the use of stop loss and take profit orders. However, it is important to note that past performance is not indicative of future results, and traders should always use proper risk management techniques when trading.
It is recommended to test the EA on a demo account before using it on a live account to gain a better understanding of its performance. Traders should also use a low spread ECN account and have the EA online at news releases for best performance. Additionally, using a forex VPS is recommended to ensure the EA is always online and ready to trade.
News Trader EA Features
- The News Trader EA trades high/medium/low impact news events.
- It places pending orders in both buy/sell directions before news releases.
- The EA can be used on any currency pair and timeframe, but is recommended for GBPUSD, AUDUSD, USDJPY, and EURUSD.
- It is not based on any indicators, but simply uses high impact news to open trades.
- Stop loss and take profit orders are automatically added once the order is executed.
- Traders can set their own news trade preferences in the EA’s inputs section.
- The EA does not use dangerous trading methods like martingale, grid, or hedging.
- It can use the Average True Range indicator to automatically choose stop-loss and take-profit levels based on the preceding volatility of the currency pair.
- A fixed lot or auto lot can be used to automatically increase the size of the transaction according to specified criteria.
- The EA’s performance is heavily dependent on the quality of news sources used.
- Using a low spread ECN account and a VPS is recommended for best performance.
News Trader EA Settings
- Magic number: Unique identifier to keep track of trades placed by the EA
- Broker GMT offset: Time zone offset of the broker’s server
- Seconds before news to set pending orders: Time gap before news release to place pending orders
- Pending distance from market price: Distance of pending orders from the current market price
- Seconds after news to delete untriggered orders: Time after news release to delete pending orders if not triggered
- Lot size: Fixed or automatically calculated lot size for trades
- Risk percentage: Percentage of account balance to risk per trade
- Take profit: Target profit level for trades
- Stop loss: Maximum loss level for trades
- Move to break-even: Move stop loss to entry point when a certain profit level is reached
- Trailing stop: Dynamic stop loss that follows the market price
- Trailing stop trigger: Minimum profit level required to activate trailing stop
- Max. spread: Maximum allowed spread for trades
- Max. slippage pips: Maximum allowed deviation from the requested price
- News filters: Criteria for filtering news events to trade
- High impact news: News events with high impact on the market
- Medium impact news: News events with medium impact on the market
- Low impact news: News events with low impact on the market
- Alerts: Notifications for trade events and news releases.
News Trader EA Summary
The News Trader EA is a Metatrader 4 expert advisor that trades high/medium/low impact news events by placing pending orders. Its strengths include the ability to set news trade preferences and use the Average True Range indicator to calculate stop-loss and take-profit levels. Its weakness lies in its reliance on news events and the associated market volatility. To test the EA’s performance, traders can use a demo account and apply good risk management settings. It is suitable for traders who are interested in trading news events and who have experience with risk management.
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