Learn how to optimize a set file for Dark Venus, a free expert advisor for gold trading, using MetaTrader 4. Adjust settings for better profits and lower drawdown, and run a strategy test to see the results.

How to Optimize a Set File for Dark Venus Expert Advisor

Introduction

The purpose of this video is to guide viewers on how to create a set file for gold trading using the free expert advisor Dark Venus. The video will provide step-by-step instructions on how to optimize a set file for Dark Venus and test it on the MetaTrader 4 platform.

Preparing the Chart and Strategy Tester

To optimize a set file for Dark Venus, the first step is to open the chart for Gold or XAU/USD on MetaTrader 4 with a 200 exponential moving average attached to it. The next step is to select the 15-minute timeframe and open the strategy tester. To open the strategy tester, select “View” and then “Strategy Tester” or press Ctrl + R for the shortcut. Under the expert advisor, select Dark Venus and the 15-minute timeframe, and then select XAUUSD or Spot Gold as the instrument to be tested.

Downloading Historical Data

Before running the strategy test, it is essential to download the historical data for the instrument being tested. To do this, select “Tools” and then “History Center” on the MetaTrader 4 platform. Under the “History Center” tab, download the historical data for the instrument selected and press “Okay”. Although other data sources are available online to increase the accuracy of strategy testing, for this example, the data from History Center will be used.

Running the Default Settings

After downloading the historical data, it is time to run the default settings of Dark Venus to determine its performance. To do this, select “Expert Properties” and then press “reset” in the bottom-right corner. Once the steps are completed, the first backtest can be run to analyze the results. The backtest graph shows periods of strong growth and large drawdown. The report shows a total net profit of $378.60, with a profit factor of 1.62, gross profit of 985, gross loss of $600, and a drawdown of 40%.

Changing the Settings

As the drawdown and growth have a significant difference, the settings need to be changed to obtain better results. The next step is to make specific changes to the settings to optimize the set file for Dark Venus. The following adjustments can be made:

1. Money Management: Change this to “true” and 0.50.
2. Indicator Settings: Change Bollinger Band Strategy to uptrend buy and downtrend sell.
3. Trading Days: Change Friday to “false” to ensure that the expert advisor runs from Monday to Thursday only.
4. Trading Directions: Change allow buy and sell at the same time to “false”.
5. Grid Trading Settings: Change it from 5 pips to 10 pips due to the volatility of Gold.
6. Target Settings: Change the Take Target to 50 pips for sudden movements.
7. Stop-Loss Settings: Use a percentage loss setting, change to “true”, and loss amount to 10%.
8. Average Trailing Stop Settings: Enable only in profit to “true”. Change average trailing stop value to 100 and the average trailing step to 50.

Rerunning the Backtest

After making the adjustments, it is time to rerun the backtest for the same period to analyze the changes made. The new backtest shows improved results, with a total net profit of $123.24 and a maximum drawdown of 13.5%. However, the profit has been limited to a certain extent.

Adjusting Trailing Stop Settings

To increase the profits, the average trailing stop settings can be adjusted further. By allowing it to start after 5 pips and trail by 2.5 pips, the expert advisor gives a better graph for profit. The new report shows a total net profit of $155.42 and a maximum drawdown of 7.47%, an improvement in both profit and drawdown.

The Power of an Expert Advisor

One of the significant benefits of using an automated trading system is that it can be adjusted according to any account balance. For instance, by changing the balance from $2,000 to $10,000 while keeping all the settings the same, the expert advisor generates a more aggressive growth curve. The report shows a total net profit of $1,771,19, a profit factor of 8.59, and a maximum drawdown of 7.46%. This means that there was a 17% return with a 7.46% drawdown.

Conclusion

In conclusion, optimizing a set file for Dark Venus expert advisor is not a complicated process if done with attention to detail. It takes several backtests and adjustments to find the ideal settings that work well to generate maximum profits with minimal drawdown. New traders must trade expert advisors with a stop-loss, and it is essential to adjust the settings based on individual account balances. The expert advisor can help traders maximize their returns and reduce their risks, but they must use it responsibly, following a balanced approach.