ATR Trailer is a simple Expert Advisor. It relies on a trailing stop strategy to take profits from large market movements. The trailing stop use is based on the ATR (Average True Range) indicator. The direction of the starting trade is controlled by an input parameter; each subsequent direction is opposite to the previous one. When trailing stop triggers, the trade is closed and a new one is opened automatically. With the default ATR settings (period = 24 and multiplier = 3) and the optimal timeframe (H1), the trailing stop is set to cover 99.73% of daily fluctuations, assuming that the price changes according to the normal distribution law.
ATR Trailer Expert Advisor backtesting results
The demo test of the ATR Trailer Expert on the MetaTrader 4 platform for a period of one year (2020) showed ~ 4% profit with ~ 7% maximum drawdown. The volume of used positions was set at 0.1 standard lots. EA concluded 321 trades, of which 42.68% were profitable. The test used the default settings on the EUR/USD H1 chart.
How to trade with ATR Trailer Expert Advisor
You can use the following input parameters for optimization:
ATR_Period (default = 24) – period of the ATR indicator, which is used for trailing stop.
ATR_Multiplier (default = 3) – multiplier, the value, which is ATR indicator is multiplied by.
StartWith (default = 1) – defines the direction of the starting position: 1 – short, 2 – long.
How to download and install an expert advisor
In order to install an expert advisor on your MT4 platform, you need to follow these steps:
- Click on the “Download Indicator” button located at the bottom of the screen.
- Save the file to your computer.
- Extract and move the files into the MT4>Experts folder of the MetaTrader4 software file directory.
- Restart your Metatrader platform.
- Find and activate “ATR Trailer” Expert Advisor in the Navigator window.
Note: This Expert Advisor was developed by a third party. AtoZ Markets does not carry any copyrights over this trading tool.