LS Virgo Super EA User Manual LS Capital Pte Ltd (Co. Reg. No: 201220946N) Contact: Edward Khoo 8422.1216 Email: lscapital@qq.com 1st Edition: 28 April 2016 Forex Automated Trading software is also known as EA (Expert Advisor) or Robot. Its design is mainly based on traders' trading concepts and experiences. Traders need to open an account with a Forex Broker which can provide MT4 Terminal for trading. The MT4 Terminal must be installed on computer running Windows operating system with 24 hours continuous Internet connection. The EA program files will be copied to the MT4 Terminal program folder and attached to currency charts open in the MT4 Terminal. With that setup, the EA can help traders to carry out trading automatically, totally eliminating the need of human times and effort in trading. The Advantages of Fully Automated Trading are as follows: 1. No need to learn how to trade - so not only traders can save lots of times and money in learning, but also prevent trading losses due to lack of sufficient knowledge and skills while learning. 2. No need to spend time looking at charts when trading - EA will enter and exit trade automatically, so traders can carry on with their own routine job or business, the best of both worlds. 3. Avoid trading affected by emotion - the biggest hindrance to trading success are traders' emotion as a result of greed and fear, which may cause huge losses. Most traders' emotion will cause them to cut profit too early and let the loss runs until getting out of control. Of course, the most important criteria for a good EA must be safe and profitable, which are accepted by traders. However, it's not easy to obtain such EA. There are many EA selling in the market and lots of them are free, but the successful rate usually is less than 0.1%. The main reasons are majority of the developers are just programmers who have no much successful trading experiences or with the right trading concepts. Most developers depend only on the concepts of technical indicators, support and resistance, Fibonacci retracement, wave theory etc. to design the EA, but the success rate is very low. The Concepts of LS Virgo EA Almost all EA designs are using traditional technical indicators and concepts which are based on historical data to compute and based on the results obtained to predict future price movement. As a matter of facts, price movements are not based on past historical pattern, but are fluctuated every second based on current supply and demand created by the traders in the market, nobody can accurately predict price movements. Therefore, the accuracies of these EA are poor and success rate are very low. LS Virgo EA design concept is based on market supply and demand logic, couple with appropriate money management and settings, success rate is almost certain. LS Virgo EA Trading Tactics All experienced and intelligent traders will discover that if a currency pair has the most traders trading on it, its short term price movement will be very much less affected by any changes of national policies, group manipulation or special news. Normally, it will reverse back to the original course after a short period of chaotic movement. Especially GPUSD or EURUSD which have higher percentage of daily trading volume, so their short term price movement will not move in one direction for a long time. Take a look at the pie chart below, EURUSD (41%), USDJPY (21%) and GBPUSD (15%) are the three highest volumes traded currencies in the world and therefore will not be easily affected by market factors. 1
Euro is the common currency for more than 20 countries. Due to differences in economic conditions, ways of handling business development, living habits, etc., and some countries borrow excessively to spend but could not pay back and end up with debt default and bankruptcy. Hence, these factors cause Euro to be very unstable and made trading difficult. Japanese unpredictable fiscal policies are changing frequently which also cause the currency to be very unstable and difficult for trading. The demands for other currencies are very much smaller and therefore could cause irregular price movement which is also bad for trading. Only GBP is relatively stable in price movement. Also, GBP was the leader before USD became the number one currency in the world. Therefore, we believe GBPUSD is best currency pair for trading. It's very suitable for our trading concept. From years of observation and research of the price movement of GBPUSD, we discovered from the H1 chart that the movements were moving up and down within certain ranges for days or weeks, but it had never move in one direction for a big distance before retracing back for certain distances - it moves in wave. During 2008 financial crisis, even though it crashed more than six thousands pips in about 6 months, but it also moved up and down in short term waves in the hourly chart. It's only when there are up and down waves that our concept will work and achieve good profits. We have gathered about 4 thousands EA from all over the world, our final conclusion is that we must use the following design concepts in order to achieve long term profitability: 1. Account size must be adequately large and the leverage given by the forex company must be at least 1:500. So with a 10,000 USD account we can have 5 million (5,000,000) USD trading capital. Assume current price of GBPUSD is 1.44100, for 1 lot trade it requires 144,100 USD of capital; 0.1 lot requires 14,410 USD and 0.01 lot require 1,441 USD. So for 5 million of capital, we can trade 34 positions of 1 lot, 346 of 0.1 lot and 3,469 of 0.01 lot. We will use these figures for explanation later. 2. As mentioned before, there is no ways to accurately predict the future price movement. However, as long as there are price moving in waves, we can trade profitably. First, we enter initial trade based on "Price Action" with very small lot size, when trend moves against our direction then we keep on adding positions at certain distance apart (grid) with modified martingale strategy. For each additional positions added, the EA will calculate the combined profit target set in the EA parameters. Eventually, when trend reverses back in our direction and price reach our combined positions profit target point, all positions will be closed with a profit. Of course, the grid distance, lot sizes and martingale factor are chosen carefully based on research on past record. Not all currency pairs are having the same input parameters. For LS Virgo EA, we use only GBPUSD pair as standard. Even though the EA can also trade on other currency pairs but settings must be adjusted carefully. From testing and past trading records, GBPUSD yield the best results in terms of higher profit and lower risk. Example:(Refer Chart on next page) Assume use 10,000 as capital, start with first sell order (S1) of 0.1 lot, the price move in opposite direction, after 35 pip distance away or more, the EA look for price action to enter another sell trade (S2) at 0.1 lot (no change in lot size). If the price still moving away and at another 35 pip the EA will base on price action to enter another sell trade at bigger lot size using increase factor of 1.5, i.e. 0.1x1.5 = 0.15 lot. Similarly, when the price moves further away, the next trade (S4) will be 0.15 x 1.5 = 0.22 lot. These 4 positions have a combined average take profit of 20 pip, so when price finally reverses and reach the take profit point, all 4 positions will be closed by the EA automatically. Using the above 4 positions for calculation, capital use 0.1+0.1+0.15+0.22= 0.57 lot x 144,100= 82,137 USD, it's only 1.64% of the 5 million capital, and every pip movement use only 5.7 USD. Therefore, as long as the starting lot is small, the risk is very low. With smaller lot size, we can 2
increase the numbers of trade. If instead of using 0.1 lot we use only 0.05 lot, then it's even much safer. The software will not use hedging, meaning when there are sell positions, there will not be any buy position. The reverse is also true. All same direction positions must be closed before the EA will enter new trade according to EA entry criteria. From our research and backtest for the past 10 years, this type of trading strategy will not blow account as long as the capital is sufficient large and the start lot is small, and the profit will grow consistently. There is no need to set stop loss unlike other methods based on indicators or other theories which require stop loss and eventually will result in net losses. Many people are ignorance about the market supply and demand situation. They simply follow what others are doing and mandatory set stop loss for every trade. In our opinion, they are not confident about their trading strategies and fear of losing. Actually, if there is really a need for stop loss we don't have to set stop loss for every trade, just set an overall stop loss amount or percentage (%), then when hit that point simply close all positions. We don't even encourage that in our EA, but traders can decide themselves. The EA will enter trade according to our proprietary Price Action strategy. The EA must be running on a 24 hours running robust computer with continuous reliable Internet connection. For reliable auto EA trading, we recommend using VPS (Virtual Private Server) which can be rented at the following website http://www.cheap-forex-vps.com/index.php/forex-vps-plans. There is no involvement by the trader after initial set up except monitoring the progress and result either through computer or Mobile Phone (download and install a MT4 App in your Mobile Phone). Sell (S4) = 0.22 Starting from 3rd positions, previous position multiply by 1.5 times 35 pip 35 pip Sell (S2) = 0.1 Sell (S1) = 0.1 35 pip Sell (S3) = 0.15 Combined Take Profit Point for 4 positions 3
Below are two live accounts trading screen shots. Top chart shown a Sell trade was entered at low point with 0.03 lot but the trend went against it, so after moving away for about 40 pip, the EA entred another 0.03 lot sell trade, no increment of lot size. The trend continued so at another about 40 pip, the EA enter another Sell trade at 1.5 times the previous lot, ie. 0.03x1.5=0.05 lot. The EA continue to add 0.7, 0.1, 0.15, a total of 6 trade equal to 0.43 lot, the total capital used was about 0.43 x 142,500 = 61,275 USD, the price had move about 280 pip. Based on medium average which is 140 pip (rough calculation purpose), 1 pip move for 1 lot is 10 USD, so 0.43lot is 4.30 USD x 140 pip=4.30x140=602 USD. So the total capital use was 61,276+602=61,878 USD. This account capital deposited was 5,000 USD and with a leverage margin of 1:500, it has a trading capital of 2,500,000, so 61,878 is only 2.5% of trading capital. If the price continues in the trend, even for another 250 pip there is no pressure on the account, the risk is very low. Finally the price retraced less than 25% and all positions closed with remarkable profit. If traditional trading using stop loss for all positions, there will be losses all the way. 0.15 最后一单 0.1 0.07 0.05 0.03 0.03 最低点开始 Picture above: All sell positions. If trading capital is enough, no matter how many positions are added, finally all positions will be closed with net profit when price reverses. Picture below: All buy positions. Some needs only one trade to hit profit target. Some may need 2 to 4 positions to hit profit target. Finally all positions closed with net profit. 4
LS Virgo EA Testimonials Below is a 5 years backtest result from 2011-01-01 to 2015-12-31. Use conservative settings, the results were consistently growing upwards, no loss for any month which is very unique for Virgo EA. Unlikely other EA in the market which have inconsistent profit growth and when certain months made losses users will feel uncertain about the performance for next month. What traders want are peace of mind and not worry. The detailed breakdown of the 5 years result could be downloaded from our website www.global3atm.com or copy and paste the link to Internet Browser to download direct: http://nebula.wsimg.com/3d57d20a38fca7ec02b41f11a335b8ea?accesskeyid=339b4217367624f6 8A85&disposition=0&alloworigin=1 Profit growing every month 测试期 Other real account testimonials can also be obtained from our website www.global3atm.com. You can also download and install MT4 Terminal Installer from www.starfishfx.com and login in the following real accounts to verify the transaction: Account No Read-Only Password Date Account Funded 2506515 Ltk12345 2014-05-07 2513071 hjj12345 2014-09-04 2599014 Abc12345 2015-11-04 2558309 wwx12345 2016-01-19 2650034 Swl12345 2019-01-19 2635922 Chua12345 2016-01-25 2665836 Hsc12345 2016-02-01 119142 Cheng12345 2016-02-23 LS Virgo EA can achieve monthly profit of between 5% to 15% (i.e. yearly ROI are between 60% to 180%). These types of investment return are very safe and profitable as compared to other types of investment such as stock and share, commodity, gold, indexes, etc. 5
MT4 Terminal & LS Virgo EA Installation and Setup Download MT4 Installer from Forex company website or link in email sent by them, and LS Virgo EA Installer from our www.global3atm.com Products section to Computer Desktop. First to install MT4, we use NoaFx MT4 as example. Double click "noamt4setup.exe" on Desktop, when window open click "Yes, I agree with all terms of this license agreement", click "Settings" Inside the Trader Installation folder Program group, Enter something at the end of "C:\Program Files (x86)\noafx and Program group such as account number - 2088545399 or "01", "chz01". Do this with different number or words to future installation to avoid installing into the same folder which cause confusion. Untick "Open MQL5.community website", then click "Next" 6
The installation progress window appears and wait till the right window shows, click "Finish'. Left window appears, click Cancel. Right window appear, click Cancel. 7
After that it'll take a while for the MT4 Terminal to appear as below. Close all charts inside the Terminal. Move the mouse to left side "Market Watch" window, right click and a window pop up, choose Show All. Close Market Watch. 8
At the top of MT4 Terminal, choose "Tools(T)", "Options(O)" Choose "Charts", " Show period separators", Choose "Expert Advisors", as shown, OK. 9
Go to left side click "Create a new chart" below "File", choose "GBPUSD.fix" from Ultra account, or " GBPUSD.pro" from Pro account. A H1 chart will appear. Next modify the chart as follows: 10
At any part of the chart, right click mouse, choose "Grid" from the box. At the top of MT4 Terminal, Choose "Candle Sticks", click "Zoom In" 3 times, click "Shift end of the chart from right border" After set up the chart, click "Templates", "Save Templates", File name enter "Default", click "Save". Next time when open new chart, a properly set up chart will appear. 11
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Installation of LS Virgo EA Open MT4 Terminal, Choose "File", "Open Data Folder". open "MQL4" show "Experts" & "Libraries" folders. Look out EA on desktop, unzip and locate 2 files inside in unzipped folder. Copy "LS_Virgo_EA_v1_03_rev5.ex4" to "Experts" folder and "LS_Virgo_EA_v1_03_rev5.dll" to "Libraries" folder. If there is templates in the unzipped folder, copy to the "templates" folder. Close and re-open MT4. There may be an EA Installer on the website www.global3atm.com which could be user to make installation much easier. But certain computer may have difficulties installing it and must use the first installation method. With GBPUSD H1 Chart open, from left side "Expert Advisors" choose "LS_Virgo_EA_v1_03_rev5", double click or drag it to the chart Choose "Common" Tab, Make sure the according to picture below. Next choose "Inputs" tab. 13
Setup inputs: For normal usage, only set the start_lots according to the capital size will do, other settings can be left at Default values. Using leverage 1:500 account, start_lots setting:10,000 USD account uses less than 0.08, suggested size 0.05;5,000 USD account use less than 0.05, suggested size 0.03; 2,000 USD account use less than 0.02, suggested size 0.01. All these settings are shown on the Inputs filed. After setting, click OK. After a few seconds, LS_Virgo_EA_v1_03_rev5 with a smiling face appear on the top right of the chart. If it is a sad face, please check that at the common tab and Tools/Options/Expert Advisors setting are accordingly. Each EA can only be used for one account only. It can be installed in different computers MT4 login with the same account number. EA must be activated before use and if not activated, the chart will be closed and the warning message below will appear. 14
Some times when you need to change the EA settings, move your mouse to any empty space of the chart, right click mouse, select "Expert Advisors", "Properties...", the EA Inputs setting will appear. 15
The computer use for trading must be online with the MT4 open all the time, otherwise there is no data feed to trigger the EA for trading. =========================================================================== == How to Apply MT4 Demo Trading Account? Click "File", "Open an Account", "Next", "Next"... Fill up all the fields. After "Next", a Demo account is created. Note down the ID and password. An email will be sent to MT4 Terminal mailbox containing these ID and passwords. 16
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