DrawDown Limiter MT4

[TopicStarter]

Introduction​

Ah, the glorious world of automated trading systems. A place where promises of wealth and prosperity abound, but often end up in disappointment. Today, our focus is on the well-praised DrawDown Limiter MT4. With ratings floating around the 5-star mark and comments that could be mistaken for love letters, one could easily be swept up in the excitement. But, as seasoned traders, let's remember to keep a level head, and subject it to the same rigorous analysis as everything else.

Description of Functions​

The DrawDown Limiter MT4, a trading robot, is designed to limit drawdown, thereby reducing risk, and potentially increasing profitability. The main function of this EA is to stop trades when a predefined drawdown level is reached. This limiting feature can be attractive to risk-averse traders who are looking to minimise losses.

Analysis of Results​

The past year has apparently been decent for this robot with most users cooing happily about its performance. The high user satisfaction rate makes me slightly less sceptical, but only just. Remember, past performance is not indicative of future results.

Pros and Cons​

According to user feedback, the robot boasts a responsive author and delivers excellent support for users. But then again, good customer service doesn't directly translate to a good product. On the flip side, we don't have concrete information about its limitations, which is a bit concerning. As we all know, every strategy has its blind spots.

Source Code of DrawDown Limiter MT4​

Here's the thing, we don't have the original source code for the robot sold on MQL5. What we can do is create a code based on the description provided on the MQL5 site. If you have questions about the code, feel free to ask. Just remember that this is merely a code example from easytradingforum.com, based on the description of a robot sold on MQL5. The EASY Trading Team does not sell the DrawDown Limiter MT4, we simply provide a code based on its description.

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Download DrawDown Limiter MT4 – Know Your Code Before You Operate​

Remember, you're not just downloading a piece of software, you're entrusting a part of your trading to a machine. It's imperative to understand its ins and outs before letting it handle your hard-earned capital. If you have questions or doubts, let’s have a chat on our forum. Share your results, ask questions, let's dissect this fellow and see what it's really made of.

In conclusion, the DrawDown Limiter MT4 seems to have quite a fan club, but as we all know, the proof of the pudding is in the eating. So, let's put our forks and knives to good use and see how well this robot digests.

 

[Joshua Stern]

I've been reflecting on the EA mechanics, and I believe there's substantial room for improvement. The trades counter currently behaves more like a chaotic kite in a thunderstorm; it inaccurately counts every tiny take profit or partial close as a full-fledged trade. This issue obstructs the intended purpose of mitigating overtrading. It would be infinitely more effective if we could cap the number of new positions opened, independent of the myriad take profits in progress. My proposal is simple: restrict opening beyond a set number of new trades at any given time. Additionally, automating the closure of trades exceeding a predefined drawdown would bring clarity and prevent unnecessary turmoil. Lastly, integrating a position sizing cap to shield against reckless overexposure could streamline our trading experience. Cheers!

 

[Alex Morgan]

Thank you for the clarification! Understanding the percentage of drawdown is indeed crucial for effective trading. Let's break it down: with an initial balance of 11197.78 and a max daily drawdown of 1%, we agree that the limit stands at 111.98. If your current P/L is -76.93, the drawdown calculation becomes: (-76.93/-111.98) * 100 = 68.8%. This percentage illustrates how close you are to hitting your acceptable drawdown. Shifting our focus to the second scenario with a starting balance of 11088.80 and a daily drawdown cap of 5%, while observing a current P/L of -108.98 leads us to: (-108.98/-554.44) * 100 = 19.64%. This helps in assessing risk tolerance and making informed decisions. If any further clarification is needed, feel free to ask. I'm always here to help!