I’ve been forward testing the new Gomega Pound Yen since Tuesday last week. And it has proven to be very consistent at anticipating the market direction on trades it has entered, is was however exited early when the market retraced before advancing further. Leaving it in a net gain of $45.76 profit for the 3 days it traded.
Gomega Xray was also trading this currency pair having entered its position the week before. Just now Gomega Xray exited its position in the Pound Yen at a profit of $704.52. Leaving it with an account balance of $7686.72 and an equity balance of $8850.
Click Here for a Gomega GBPJPY to see Gomega GBPJPY in action
The back tests on Gomega were very good but the live results are even better. I’m not a big believer in back testing, simply due to the fact that the amount of data available for the EA to work with, is tiny at just around 1% to 2% of the real time live data ticks. And even when using the 1 minute time frame for the data source, each tick is an average of the 50 to 100 ticks that may have existed in real time. In other words, back tests are poor facsimiles of live trading.
So how did Gomega GBPJPY do in the back test? The test was run across the same time period that we have live results for. Which is from October 5, 2008 thru to April 10, 2009. Beginning with an account size of $5000, the Gomega GBPJPY back test completed with a closing balance of $8174 which is a 63% gain. This compares very well with the live results from Gomega clients. Andreas Maeder’s account began live trading on Sept 2nd 2008 with a starting balance $10,000. And by April 6, 2009, the account had reached $19,909.24. A gain of 99% in just 7 months. You can see Andreas, from Switzerland, talks about his Gomega settings for trading the Pound Yen. Another client traded with a $5000 demo account over the same period which hit a closing balance of $14,608.67 by April 3rd, which is a gain of 192%. And another client traded a live money account starting with $5000 beginning on October 5th, 2005 and by April 10 it had reached $12,811.01 or a gain of 156%.
Here I’ve taken the chart from the back test and superimposed it over the live result charts (Sean, Greg). I then color coded the balance curves to make it easier to compare the results. The blue line is the live money account, the green line is the forward demo test and the orange line is the from the back test. You can read more about the GOmega GBPJPY AutoTrader here GoMEGA Pound Yen Review.
Its been a interesting week for GomegaXray forward tests and I am sure for most automated EAs. Gomega has been trading a $5000 demo account at Alpari since the 21st of April, and it started the week with a balance of $6188. In the week it suffered a number of successive loses drawing its account balance down to well under $6000. Yet at the same time its equity balance was hovering around $7000. So on the one hand the results looked bad but at the same time it was in a very good position overall.
Part of the reason for the string of losses in my view is Gomega Xray trades multiple currency pairs and one of the entry criteria is the cross currencies strength for each of the pairs being traded. So if the market direction changes or goes against Gomega, Gomega will likely have many little losses in a row as the stop losses are triggered. Of course the opposite is true when Gomega is on the right side of a market movement, the result being many big wins in a row.
This is precisely how last weeks trading had been. Gomega found itself on the incorrect side of the market movement a couple of times as well as having some positions that were peaked out during major news events. Those news events without doubt had sent a cascade of stop losses rippling across the markets. Perhaps a great oppurtunity for the dedicated manual trader? However regardless of this, Gomega was still in the trade on several positions since the beginning of the week and earlier. And as the Euro continued to strengthen during the week, Gomega’s equity position continued to grow, even though its balance was down.
By the Friday afternoon, Gomega had closed out several positions it had been holding and ended the week with a balance of $7296 and equity of $7478. So that was a gain of $2296 or 45% in less than one month.
While the weeks trading did not produce a nice smooth balance curve, the end result is still really impressive. If only Metatrader were able to show an equity curve that included the equity balance, it’d be better to visualise how the trading situation had progressed. Another limitation of the chart s produced by Metatrader are that the horizontal axis is constructed on a closing trades basis rather than a fixed unit of time. So the end result is a somewhat distorted view. Click here for the latest on the Quantum Gomega Live Trading Results
GoMega GBPJPY Autotrader will be released June 2nd, 2009 for 3 DAYS ONLY
GoMega GBPJPY Autotrader will snapped up by a number of smart traders beginning June 2nd for 3 days ONLY. After that, it will never be available again to the general public
I’ve been forward testing the new Gomega Pound Yen since Tuesday last week. And it has proven to be very consistent at anticipating the market direction on trades it has entered, is was however exited early when the market retraced before advancing further. Leaving it in a net gain of $45.76 profit for the 3 days it traded.
Mail this post
