The program works by calculating the different indicators that it was designed to use and take actions when the market conditions meet the correct criteria as described in the source code of the Expert Advisor.
Fore Example. A simple expert advisor may say something like this:
"If the 9 and 20 day moving averages cross with the 9 day MA above the 20 MA and the RSI is higher than 50 then open a long position (buy)"
That is just an example. You can assign countless conditions for entering and exiting the market as well as managing trades for trailing stops and multiple take profit levels.
An MT-4 Expert Advisor is usually divided into three parts: A startup or ‘init’ function, a main function and a ‘deinit’ or cleanup function. The Expert Advisor will run through its startup function once upon startup and will run through its ‘deinit’ or clean-up function once at the end. In the mean time, the MT-4 Expert Advisor program runs through a cycle of its main function over and over with every incoming tick while it is attached to a chart and active. Once running, the Expert Advisor will not start another cycle for a new tick if it is still in the middle of processing the previous one.
Here is a simple outline of what a simple expert advisor could be programmed to do.
(This would be the 'main' part of the EA and takes place every time a tick comes in.)
Check my account. Is there enough equity to open a trade? if so, continue. If not, end.
2- Are there any open trades right now?
2a- If there are, do they need to be closed or do they need their trailing stop adjusted? (do so if needed and exit.)
2b- If there are no open trades, are the market conditions right to open one? (do so if needed and exit. )
Fore Example. A simple expert advisor may say something like this:
"If the 9 and 20 day moving averages cross with the 9 day MA above the 20 MA and the RSI is higher than 50 then open a long position (buy)"
That is just an example. You can assign countless conditions for entering and exiting the market as well as managing trades for trailing stops and multiple take profit levels.
An MT-4 Expert Advisor is usually divided into three parts: A startup or ‘init’ function, a main function and a ‘deinit’ or cleanup function. The Expert Advisor will run through its startup function once upon startup and will run through its ‘deinit’ or clean-up function once at the end. In the mean time, the MT-4 Expert Advisor program runs through a cycle of its main function over and over with every incoming tick while it is attached to a chart and active. Once running, the Expert Advisor will not start another cycle for a new tick if it is still in the middle of processing the previous one.
Here is a simple outline of what a simple expert advisor could be programmed to do.
(This would be the 'main' part of the EA and takes place every time a tick comes in.)
Check my account. Is there enough equity to open a trade? if so, continue. If not, end.
2- Are there any open trades right now?
2a- If there are, do they need to be closed or do they need their trailing stop adjusted? (do so if needed and exit.)
2b- If there are no open trades, are the market conditions right to open one? (do so if needed and exit. )
Generally, an expert trades with patience and calm. Many new Forex traders will just rush towards certain signals. But an expert will not do so. An expert is very patient and calm when deciding his investment. This is to ensure most of his investment will yield a profit instead of loss. When it comes to an urgent decision, he will be able to make the decision calmy and accurately.
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Generally, an expert trades with patience and calm. Many new Forex traders will just rush towards certain signals. But an expert will not do so. An expert is very patient and calm when deciding his investment. This is to ensure most of his investment will yield a profit instead of loss. When it comes to an urgent decision, he will be able to make the decision calmy and accurately.a3trading
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