The Beast – My favorite EA (Expert Adviser)

An article by Gus    1 Comment

Hey everyone so I have been getting a few questions about which expert advisers I am using to trade now. While I have a large amount of EA`s trading for me in demo accounts I only use one or two live at any given time. I will explain my favorite EA here which is the one I use live the most and the one I trust the most. First thing is first, I DID NOT! code this EA nor did I come up with the idea for it. I would never take credit for something that is not mine especially when it has taken so many hours to put it where it is at now. The genius behind this work is SteveHopwood, and he puts most of his work over at ForexFactory.com, which by the way is a great site to get new trading ideas and develop them.

The EA that I am talking about is The Beast or The Old Beast as the latest version is being called for a few reasons. The original Beast was created back in October of 2010 and was a great success from the start but as many of you markets changes and so must trading methods. While the original EA coding was done in October the idea for The Beast was long in the brewing with the help of NanningBob another major contributor over at ForexFactory.com, Bob is definitely one of my favorite forex traders and a genius when it comes to developing new methods. I will be posting later about NanningBob and some of the EA`s he has written and have been wildly successful for me.

Now back to The Beast, the concept for this is based on “sixths line” calculation to find the optimum Entry and Exit points calculated from bar history for individual pairs. The Beast and The Old Beast use these lines which are automatically calculated to Enter and Exit trades, these lines are also calculated every bar. I would download the PDF that Steve wrote up on the forum to further understand the system, since I rather not explain word for word what he already wrote down.

Right now my favorite pairs for trading this EA are as follow: EURUSD, USDCHF, USDJPY, GBPUSD and GBPJPY. There is no specific reason for them except the fact that I have had good luck with them in the past and the volatility they have works well with this system. I have added more pairs as I go along to give myself a nice coverage of the markets. Steve and many others use a group of four which works great but just make sure you have enough margin to cover them all. The pairs they are using are as follow: AUDJPY/CAD/USD; GBPAUD/CAD/CHF; EURAUD/CAD/CHF/JPY/GBP.This is a good group the main problem with it is margin.

The EA is a great piece of coding that has worked amazingly for me, there are a few warnings I would like to give. First thing is demo! I have heard way too many people jump into trading EA`s into a live account just to have it wiped out completely and blaming the EA for it. While this robot is automated you still need to understand how ti works and know when to turn it off and cancel some trades to keep your account from going under. The pdf I uploaded has a lot of information on how this EA works and I would highly recommend to go over to the ForexFactory.com forums and follow the thread where this is discussed the link is below.

The second thing I wanted to go over was margin and recovery trades. Once you go over the pdf and read how this EA works and the trading ideas behind it you will find out the reason why margin is some important. Now if you have a $100 account and are trading .5 or 1 lots you will be whipped out probably in the first week if not by the second. An account with $100 in it I would not trade more than .01 lots since you need to be careful when markets go downhill and the recovery trades kick in. This is the time you will need that margin to keep your account afloat and avoid a margin call due to insufficient funds. This past week was a perfect example with all the issues in Japan many currency pairs dropped as if there was no bottom and many people who did not have enough free margin or where trading too many lots or pairs wiped out their accounts.

This EA is a great program and if used correctly you will be able to reap the profits. But just because it is an automated trading system does not mean it will run without any knowledge whatsoever. I highly recommend read the pdf and go to the forum threads and learn as much as possible before going live. I will not be posting the actual EA on this site since it is updated regularly with fixes that arise throughout the trading week and it would just be easier to head over to the thread and get the latest version there. Also as you will see once you read over the thread the latest version is not always the most favored I still use one of the original version and find it to be the best suited for my style, if anyone would like that version which is no longer on the forum just let me know and I will post it on this site for you to download.

As always good luck with the trading week ahead and go after those pips!

Thanks,
Gus FX

The Old Beast User Guide – Very Important Read!!!

Forexfactory.com Sixths Trading Forum Thread