«Harmony» Trading Algorithm explained
«Harmony» Trading Algorithm is a system that uses the principles of mean reversion.
The system went through a cycle of tests, and is successfully trading on real accounts.
According to the test results, the expected profitability of the algorithm is 60% per annum with 0.5% risk limit per trade, while the maximum equity drawdown is not more than 10% per month.
Minimal drawdowns are among the strengths of the system. The weak side is that the system does not work stably during news and extended spreads. To eliminate this problem, the algorithm has a time filter—the system only works during a calm market (Asian session).
«Harmony» Trading Algorithm
«Harmony» has a system of dynamic stop loss control, which uses a hard stop loss combined with the dynamic one which significantly increases the stability of the algorithm.
This is the third generation of the algorithm. Our development team took into account all the details, even the most insignificant ones, corrected flaws, and added new solutions. The system has become stable, low-risk, with good profitability indicators—in a word, harmonious.