Reactor: Automated Trading Software (User Guide)
Automated Trading Software (User Guide). You can find Expert Advisor Studio on our website: https://eaforexacademy.com/s/qsJpF.
In this video, we're going to be discussing the reactor. Now, the reactor is an automated trading software that we can use to generate, optimize, and validate strategies automatically.
This is also known as an automated workflow for creating trading strategies. Now, what is included in the reactor?
Well, the reactor is a generator with additional tools for optimizing and validating our created strategies. So, for example, every strategy that the
reactor creates through the generator will need to go through several Monte Carlo validations.
Only when the strategy passes the Monte Carlo validations will it then be put into the collection. You can set any of the other validation tools, and these strategies would need to pass through them successfully as well before being placed into our collection.
If you enable or disable any of the optimization tools, what you'll see is that the statistics for those tools appear on the right-hand side.
So let's take a closer look at how the automated trading software reactor works. You can set specific criteria and Out of Sample parameters for the strategy, you can use different settings for your generator to optimize the strategies. In addition to this, the reactor can validate the strategies using the Monte Carlo and the Multi-Market tools.
And only if the strategies pass these validations with no exceptions will they be added to our collection. The 3 tools that we have for optimizing our strategies are the Full Data optimization, the Walk Forward optimization, and the Normalization.
Every strategy of the generator will be optimized by the automated workflow.
This kind of optimization has separate settings, and they differ from the main settings of the generator. When the optimization is completed, the best strategies are checked if they fulfill the Acceptance criteria.
If they do, then EA Studio will proceed to the next workflow tool. If you have not set any additional tools, the strategy will then go into the collections, and the generator will start running. It will be more effective to leave the generator to work for a longer time.
The trading software automated process gives us a chance to limit the manual work.
Next is the Walk Forward optimization. Now, the Walk Forward optimization represents a sequential optimization of the strategies. It's also known as the Walk Forward analysis and Walk Forward optimization.
It's named a Walk Forward because there's actually a moving window that gradually goes over the entire period of the historical data with pre-set steps.
This process is done by automated trading software.
Essentially, it is used to minimize any over-optimized parameters in these
strategies, because over-optimized strategies can fail, and obviously, that is not what we want as traders when we are trading with our money.
So if the Walk Forward optimization results outperform the full data backtest results, then the strategy will obtain better parameters for optimization.
Next, we have the Normalization. This is the most recent feature that has been added to Expert Advisor Studio.
It allows traders to simplify the trading strategies, it reduces the Stop Loss and pushes the parameters of all the indicators closer to their default values. Any changes are accepted only if the results are better.
The Normalizer doesn't change the strategy. It just makes it faster and easier. Then we have the robustness testing tools, firstly is the Walk Forward validation.
The Walk Forward optimization tool provides you with the strategies which have passed the validated segments without changing their initial parameters.
Next, we have the Monte Carlo validation. Now, the Monte Carlo tool executes random tests of the strategies and validates their output. You
can select what percentage rate to set for the tests on profit, and you can set the amount of tests that you want it to perform.
The Monte Carlo is absolutely vital in automated trading software.
It is capable of testing the strategies with different indicator parameters, which will show us if the strategy is over-optimized or not.
Next, we have the Multi-Market validation. Watch the whole video for more information.
Our Trading Packages: https://eaforexacademy.com/s/NSsvJ
★ Test EA Studio with a 15-days trial and get the FREE course:
https://eaforexacademy.com/s/qsJpF
� If you have any questions about the Automated Trading Software, please, write in our trading Forum, where you will receive an answer within 12 hours.
https://eaforexacademy.com/s/XzHqM
All our online algorithmic trading courses are available on our website:
https://eaforexacademy.com/s/KPMvz
In this video, we're going to be discussing the reactor. Now, the reactor is an automated trading software that we can use to generate, optimize, and validate strategies automatically.
This is also known as an automated workflow for creating trading strategies. Now, what is included in the reactor?
Well, the reactor is a generator with additional tools for optimizing and validating our created strategies. So, for example, every strategy that the
reactor creates through the generator will need to go through several Monte Carlo validations.
Only when the strategy passes the Monte Carlo validations will it then be put into the collection. You can set any of the other validation tools, and these strategies would need to pass through them successfully as well before being placed into our collection.
If you enable or disable any of the optimization tools, what you'll see is that the statistics for those tools appear on the right-hand side.
So let's take a closer look at how the automated trading software reactor works. You can set specific criteria and Out of Sample parameters for the strategy, you can use different settings for your generator to optimize the strategies. In addition to this, the reactor can validate the strategies using the Monte Carlo and the Multi-Market tools.
And only if the strategies pass these validations with no exceptions will they be added to our collection. The 3 tools that we have for optimizing our strategies are the Full Data optimization, the Walk Forward optimization, and the Normalization.
Every strategy of the generator will be optimized by the automated workflow.
This kind of optimization has separate settings, and they differ from the main settings of the generator. When the optimization is completed, the best strategies are checked if they fulfill the Acceptance criteria.
If they do, then EA Studio will proceed to the next workflow tool. If you have not set any additional tools, the strategy will then go into the collections, and the generator will start running. It will be more effective to leave the generator to work for a longer time.
The trading software automated process gives us a chance to limit the manual work.
Next is the Walk Forward optimization. Now, the Walk Forward optimization represents a sequential optimization of the strategies. It's also known as the Walk Forward analysis and Walk Forward optimization.
It's named a Walk Forward because there's actually a moving window that gradually goes over the entire period of the historical data with pre-set steps.
This process is done by automated trading software.
Essentially, it is used to minimize any over-optimized parameters in these
strategies, because over-optimized strategies can fail, and obviously, that is not what we want as traders when we are trading with our money.
So if the Walk Forward optimization results outperform the full data backtest results, then the strategy will obtain better parameters for optimization.
Next, we have the Normalization. This is the most recent feature that has been added to Expert Advisor Studio.
It allows traders to simplify the trading strategies, it reduces the Stop Loss and pushes the parameters of all the indicators closer to their default values. Any changes are accepted only if the results are better.
The Normalizer doesn't change the strategy. It just makes it faster and easier. Then we have the robustness testing tools, firstly is the Walk Forward validation.
The Walk Forward optimization tool provides you with the strategies which have passed the validated segments without changing their initial parameters.
Next, we have the Monte Carlo validation. Now, the Monte Carlo tool executes random tests of the strategies and validates their output. You
can select what percentage rate to set for the tests on profit, and you can set the amount of tests that you want it to perform.
The Monte Carlo is absolutely vital in automated trading software.
It is capable of testing the strategies with different indicator parameters, which will show us if the strategy is over-optimized or not.
Next, we have the Multi-Market validation. Watch the whole video for more information.
Our Trading Packages: https://eaforexacademy.com/s/NSsvJ
★ Test EA Studio with a 15-days trial and get the FREE course:
https://eaforexacademy.com/s/qsJpF
� If you have any questions about the Automated Trading Software, please, write in our trading Forum, where you will receive an answer within 12 hours.
https://eaforexacademy.com/s/XzHqM
All our online algorithmic trading courses are available on our website:
https://eaforexacademy.com/s/KPMvz
