Loss Recovery Trader Frequently Asked Questions

loss recovery

These are some of the Frequently Most Asked Questions

Please search here for your answer before posting any questions.

 I just bought the EA, how do I use it , I need more details ?

Please read first the detailed manual and the FAQ. You can contact me at (info@theforexcabin.com)

I bought the EA but I have not received it?

If you purchased the EA through my website, then send an email to info@theforexcabin.com attaching the Loss Recovery Request Form, where you indicate the account numbers you want the EAs to work and you will receive it as .ex4 via email shortly. Instructions on how to install it are described in the detailed PDF.

If you purchased it from MQL5 you need to Login to the MQL5 community via your MT4 terminal and activate the product. To do this ,from your MT4 terminal, go to Tools/Options ,select the community tab. And enter your MQL5 credentials. Then at the bottom of your screen (Terminal Window) select the Market tab go to Purchased and you will find all the products you have purchased. Then click the Activate button. The Robot will now appear under Experts/Market at the Navigation window at the left.

How many accounts can I use the Robot with ?

If you have purchased it from the website you can use in up to 5 different accounts at a time (Demo/Real) at any PC/VPS you want. You can ask anytime to add/switch accounts.

If you have purchased from MQL5 as per the MQL5 rules each purchased product can be used in 5 different machines (PC/VPS). Within those 5 machines it can be used with unlimited accounts and MT4 terminals. You are allowed 5 activations , 1 for each machine.

How to use/activate this EA on other terminals/PC?

If you have purchased it from the website you should copy the .ex4 file in the Experts Folder of the relevant terminal (described in the PDF manual).

If you have purchased from MQL5 you need to Login to the MQL5 community via your MT4 terminal and activate the product. To do this, from your MT4 terminal, go to Tools/Options, select the community tab. And enter your MQL5 credentials. Then at the bottom of your screen (Terminal Window) select the Market tab go to Purchased and you will find all the products you have purchased. Then click the Activate button. The Robot will now appear under Experts/Market at the Navigation window at the left. Each time you activate the Robot at another PC it counts as 1 out of the 5 available activations.

 Why are the prices between MQL5 and your website different. Is there any difference in the products?

The products, service and support is the same. MQL5 charges a commission when selling products so we can use a different price through the website.

Can this EA be used as a fully automated EA or does it only recover existing trades?

It can be used in both ways. You can have the EA work in one of the following ways.

–          Fully automated EA, to also decide when to start opening the first trade.

–          Recover trades that have been opened manually.

–          Recover trades that have been opened by another EA.

Can this EA be run fully independently as an EA?

Yes . This EA has two internal strategy types you can use so it operates 100% automatically.
Set the First Strategy Mode to either Strategy Type 1 Moving Average or Strategy Type 2 Bollinger Bands

1-      Moving Average strategy. This strategy will always have active trades as it will buy or sell based on if the market price is above or below its current Moving Average price. Active trades will close when they are in profit and a new crossover appears or based on take profit criteria.

2-      Bollinger Bands based strategy. This strategy will open counter trades when the market reached the Bands . Active trades will close when they are in profit market reaches the Middle Bollinger or based on take profit criteria.

Can this EA recover manual trades?

Yes. You need to select External Manual Trade under FistTradeMode. Note that you can only recover one manual trade per instrument (unless Grid Strategy is used). You can read more about it in section 4.1 of the PDF Manual.

Can this EA recover trades that have been opened by another EA?

Yes. You need to Select External EA Trade under FistTradeMode and change the External EAs Magic Number so it is the same as the Loss Recovery Trader Magic Number. You can read more about it in section 4.1 of the PDF Manual.

Can the EA work with another EA that applies a Grid/Martingale Strategy?

Yes. There are options (Section 4.7) where you can have the EA recover Grid Trades. The average opened price of the trades is considered as the initial trade from where the recovery is constructed.

Can this EA recover existing trades?

Yes it can. You can attach the EA after the trades have been opened.

With how many pairs can I can this EA work with?

The EA can work with as many pairs as you want simultaneously, with no limitation provided one recovery cycle per instrument is used. For each pair to be recovered you need to attach the EA in a separate chart of the pair to apply recovery.

Can I have more than one trades recovered in the same instrument?

Yes it is possible, but there are some limitations in some specific methods.

If you are using external EA or one of the internal strategies, is possible if you apply the Loss Recovery in separate charts of the same instrument and change the Magic Number each time.

Under Manual Trades it is not possible ,unless you are using a grid method , as Manual Trades don’t use Magic Numbers. You can however place more than one trades instantly on the same instrument directly through the EA. Put the EA on the instrument you want to trade and select the type of trade you want to be placed under FistTradeMode. The EA will place a trade instantly with the specified magic number. Open a new chart, change the magic number and repeat the process to place a new trade.

Will the EA work with pending orders?

Yes it can. Once the pending order becomes active the EA will pick it up and continue. You can actually place several pending orders and once the first one gets triggered all the rest will be deleted.

Will the EA open automatically new trade after recovery is over?

A new trade will open only if the method you have used to initiate the first trade produces a trading signal. Recovery will follow after if the specified amount of pips is lost. Therefore if you have selected to Use External Manual Trade a new trade will not start until you place a trade manually. If you have selected to Use External EA or one of the two Strategy types of the EA the new trade will open once a new trading signal appears. If you want the EA to always start a new trade after end of the recovery then you can select the Strategy Type_1 which is based on Moving Average that will always open a buy/sell trade.

Can I automatically disable my external EA after recovery has started so it does not interfere with Loss Recovery EA?

Yes. Section 4.8 describes how you can do that with the use of templates.

What is minimum lot size/ Can I trade with 0.01 Lot?

The minimum recommended lot size is 0.10 LOT. As additional trades get initiated and the MT4 platform allows trades to be placed only up to 2 decimal places the lot sizes of the future trades will be rounded to 2 decimal places.

You can use with 0.01 lot however this will result into the lot sizes of the trades increasing in a faster rate and hence riskier recovery. For example if a future trade needs to open 0.014 lot for the Recovery to work then the trade will be placed as 0.02 lot due to the 2 decimal size allowed by the MT4.

If you want to trade with 0.01 micro lots is better to use a Cent account. Under a Cent account 1 lot is equal to 1,000 units instead of 100,000 units. Hence by placing a 1 Lot trade under a cent account is the equivalent of placing 0.01 Lot under a standard account. In this way the lot size calculations can be performed properly.

We generally suggest using the XM micro account for this.

How much deposit to use for this EA?

This is a very general question. The deposit depends on your risk settings also. Depending on how you set your recovery zone region will determine how fast the Lots for the future trades will increase. Therefore you should have enough deposit to allow sufficient margin for several future trades.

As a general rule you should not have less than 1000USD for every 0.01 Lot you trade.
If you want to use a smaller balance then you should use a cent account (Check the XM micro account for this) as the lot sizes are smaller trade sizes there.

How many pairs simultaneously can I trade based on my balance?

That is also a very general question as it depend on the lot sizes you use and the risk of the recovery zone settings.

As a general rule assume a 1000usd account can run up to 4 with 0.01 start lot.

However avoid opening simultaneous trades in correlated pairs and try to diversify. For example avoid having buy trades on EURUSD/GPBUSD and sell trades on USDCAD/USDCHF cause essentially you will end up with 0.04 lots selling USD increasing you risk and exposure.

Does the EA run on 5-digits or 4-digits Broker?

It can work on both. The EA will automatically detect the broker’s digits.

Does the EA run of fixed spread or variable spread?

It can work on both, the EA will read the current spread at the time trades will open.

Which is best broker do you recommend?

I recommend using the XM micro account. The leverage of 888:1 and 50% bonus can help maintain a higher margin that will help support the open trades longer when in recovery mode. What is more their micro(cent) account is the ideal for smaller accounts (under 1000USD) for maintain a better risk management. Another important factor is the fact that margin will only be charged on the Net Position. Assume you have 3 lots buy and 2.5 lots sell. Your Net position is only 0.5 lot which is the amount XM will charge for margin. Other brokers however may charge margin on the full 3 lots which will make your accounts require more funds for this strategy.

Click here to open an XM micro account and receive a 30 USD no deposit bonus from XM so you can try out their trading service absolutely risk free.

What to do if my Broker does not allow hedging (eg US Client)

You have two options for this

A)    The EA has an option to perform the Recovery without hedging , keeping open only one trade at time while maintaining the same risk and final profit.

B)    You can switch to a broker allowing US Clients to hedge. Trader’s Way accepts and allows US, Canadian traders to hedge with leverage 1000:1.

What are the best pairs for running the EA?

The EA can generally run into any pair that is volatile. Just adjust the Recover Region settings as you wish to have them based on the volatility of the pair being traded, your strategy for opening trades and your risk preferences and you can use it with any pair.

How much profit can I make per month?

This is a general question as it depends not only by your settings, the number of instruments traded simultaneous but also the market conditions which cannot be predicted.

What timeframe is this EA for?

This EA ,when recovering trades it is timeframe independent as it does not perform any analysis. It monitors and manages the trades based on the market movement within a range irrespective of timeframe.

When using the EA fully automated with one of the two strategies (Strategy 1: Moving Average ,2 Bollinger Bands) timeframe does matter when opening the first trade as the market is being analysed. If you are to have a longer recovery with higher Take Profit targets (eg 40 pips) the recommended timeframes are 30Mins-1 Hour- 4Hours. If you want to use the EA as a scalper for smaller recovery regions and initial take profit targets can use M5-M30.

How to do backtest?

You can backtest the EA , however you can only backtest it with being fully automated EA opening first trades based on one of the two internal strategies. It is not possible to backtest it if is to be used with another EA or manual trades.

To backtest it you need to first change the Strategy Type to 1 (for Moving Average) or 2 (Bollinger Bands) and then adjust the rest of setting as you wish.

What happens when the Max Orders number is reached?

Under risk management there are several options that control this.

– If the option “Close_Trades_When_Max_Orders_Exceeded” is enabled all trades will close when the trade number equal to Max Orders+1 was scheduled to open

– If the options Max_Loss_Amount or Max_Drawdown_Percent have figures greater than 0 then if either of those figures is reached by the account is reached all trades will close.

– If hide_the_exit_points is set to true (by default it is false) the EA assigns TP and SL at the exit points instead of closing with instant trades. In that case the trades will close when the exit point is reached ,however with a combined loss, as the TP/SL are triggered

– If none of the above apply then trades will close either if your correct exit point is reached or the account reached stop out.

What should I select the Recovery Region of the EA?

There is not fix rule regarding what the best Recovery Region should be. It depends on how volatile the instrument is, the more volatile the bigger it should be, the volatility of the market at a given time, how you enter the first trade as well as how fast and risky you want the recovery to be.

A tighter region recovery will usually have the recovery be completed faster however is likely to be more risky as more trades may get triggered and lot sizes increase faster. A wider region recovery will usually be less risky , with less trades and lot exposure being generate, however you will likely wait longer for it to be completed.

You can request after the purchase the Loss Recovery Risk Calculatorthat will tell you important information such as future lot sizes/drawdown/funds risked/exposure/profits based on the recovery region you set. So you can modify the Recovery Settings till you come up with a setup that you consider the ideal for you based on your risk profile and return expectations.

What are the best/recommended Settings?

There are no fixed best settings as the term “best” is very subjective as it depends on what the user wants. Also it relies on the fact that if you are using the EA full automatic ,using one of its two internal strategies, or with an External EA/Trade utilising another strategy. We understand that everybody wants to achieve the best return with the lowest risk/drawdown but some concepts need to be understood by the trader first for this robot.

Here are a couple of factors you should consider when selecting your settings

  • The way you enter and exit the first trade. The strategy it involves.
  • How fast and risky you want the recovery to be
  • The overall volatility of the pair being traded
  • Your risk profile and profit expectations.

Please also read the “What should I select the Recovery Region of the EA” question

If you want to use settings for fully automated the EA with some less risk, then you can use the default settings under EURUSD H4 . It uses the Bollinger Bands Strategy with a wider recovery region.