How to transform a trading strategy into a trading robot?
First, you need to define the rules of your trading strategy that you want to program:
- Risk Per Trade: this is the percentage risk of capital loss for each position (stop loss).
- Max Loss Daily: this is the maximum capital loss risk percentage per day, the robot stops trading when it reaches the maximum daily loss.
- Max Profit Daily: the robot stops trading when it reaches the maximum daily profit.
- Stop Loss Type: this is the method used to calculate the stop loss level, we recommend choosing the ATR indicator (Volatility with ATR).
- Take Profit Type: this is the method used to calculate the output level (take profit).
- Trailing Mode: this is the method used to calculate the trailing stop.
It is a combination of indicators to identify on the chart the favorable place to open a position, below is an example of entry signal of the Stochastic indicator:
It is a combination of indicators to identify the trend direction on the chart, below is an example of a trend filter identified by the MACD indicator:
If you specified a trend filter in step 4 (Trend Filter), your trading robot will find you entry signals only in the trend direction, here are the entry signals for our previous example:
After defining the rules of your trading strategy, you click on the "Build The Trading System" button to generate the Expert Advisor for your MetaTrader platform. After that, you will find your trading robot in the page: "Trading system > List".
Here is a recap video showing you how to create and install your trading robot: