Overview of the trading robot Magic Bot

In order to observe the profitability of exchange trading, this requires many abilities from market participants. This is asset management, the ability to correctly analyze market situations, composure and adherence to the established plan. All these requirements put a lot of pressure on the trader, forcing them to make mistakes on emotions. An assistant who is devoid of emotions is able to solve the problem – a
trading robot . The article provides a description of the Magic Bot trading bot. Its varieties, features, main characteristics and tuning rules are described.

Magic Bot Pack

Trading robot Magic bot is an effective tool for automatic trading in the stock, currency and futures markets. The standard software package includes:

1. A course on the main characteristics of the robot, its trading methods, installation and configuration of additional software.
2. General guidance on settings, selection of parameters and optimization of test parameters, trading assets, execution of orders according to the formed figures and candlestick patterns . Additionally, instructions are given for installing, configuring and working with the Amibroker tester.
3. Complete archive with working elements of the robot. The archive includes files with indicators, elements of the expert part of the robot.

The developer provides several types of trading robot:

1. Based on the Parabolic SAR indicator.
2. Stochastic.
3. MACD.
4. Classic version, based on the Moving Average indicator.

These varieties practically do not differ from each other by the principle of bidding. All analysis and conduct of transactions is based on the readings of indicators, the standard settings for setting stop loss and take profit are saved. This allows the user to select the most efficient robot to trade in a familiar manner and strategy based on one of these indicators. Next, we present an analysis of the Magic Bot Classic bot, which is based on the intersection of two
moving averages .

General information about the bot

The Magic Bot trading robot is built on the basis of two
Moving Average indicators . The main meaning of such a construction lies in a simple but effective trading strategy for a trend change. A trend reversal is fixed by the intersection of two Moving Average indicators. Crossing between each other is only possible with the following settings:

1. The first line is considered the main one. It has a long period. Depending on the time frame used, it can be built on the basis of 14-220 days.
2. The second line is faster, with a shorter period.

The trading strategy for such lines is as follows:

1. The main, long line of the Moving Average is taken with a value of 50. This value indicates a 50-day average price value.
2. The second, slow line, is taken with a value of 21. This is the average value for 21 trading days.

In an uptrend, the slow line 50 will be below the fast line 21. When the trend changes to a downtrend, the indicators will cross – line 21 will cross 50 from above and take a position under the slow Moving Average. Indications of a change in trend from a downtrend to an uptrend occur in much the same way, but with the difference that now the slow line crosses the fast one. This strategy has several disadvantages. Of these, we can distinguish:

1. Lots of false crossovers with high volatility.
2. Lag.
3. With a lack of experience, it is impossible to determine the most accurate point for opening trades.

Magic Bot copes with all these shortcomings. It automatically adjusts to changes in volatility, thereby reducing the risk of entering the market on a false signal.

Trading Features

Using the strategy of crossing 2 Moving Average indicators is associated with some risks. The “Magic Bot” robot eliminates any risks, and also solves the trader’s main problem – the emotional adoption of trading decisions. Software features include:

1. Wide customization of the most appropriate parameters of 2 indicators, for a specific asset. These settings help smooth out much of the market noise on particularly volatile assets, thereby reducing the percentage of false entry points.
2. Filtering . Used to eliminate errors associated with opening deals on false price breakouts. Additionally, it is possible to filter signals for closing positions.
3. Limit trades feature . Now all transactions are opened exactly point to point, without the slightest slippage. The same function helps to close open orders with maximum profit, in the presence of price jumps in the opposite direction.
4. Stop loss system . Allows you to set the stop loss level, according to the current volatility. The robot independently sets the level based on the number and height of price jumps in the nearest history. If the market is calm, the stop is placed near the open trade. With high volatility, the level moves higher. An addition to the function is the setting of a shift to the level without loss.
5. Accounting for the appearance of technical figures and candlestick patterns . Allows you to react to the formation of these elements, followed by profit taking or opening additional transactions.
6. Maximum yield . The mode allows you to open additional deals, close orders partially, open deals immediately after closing the previous ones. It is possible to set the interval in points between opening orders. Such trading increases the profitability of the deposit, reduces the number of unrecorded transactions, and allows the trader to constantly be in the market.

All this functionality works equally effectively in the currency, stock and derivatives markets. The user can also test the settings and run the robot in the “Expert” mode. This feature disables automatic trading by the bot, but allows you to receive the most accurate signals. Another useful feature of “Magic Bot” is the ability to adjust settings based on changes in volatility. This feature reduces the risk of opening trades on false breakouts. This function is available in automatic and manual modes. Automatic mode most quickly determines the situation on the market and adapts to it. Manual mode requires constant control, quick reactions.

Installing the Magic Bot

Trading robot “Magic Bot” is contained in the archive, with the main file packages. The software is suitable for installation on MT4-5 terminals, as well as
QUIK . The following is a description of the installation in the trading terminal MT 4:

1. Purchase (the robot is paid) and download the entire working file archive of the bot.
2. Unpack the archive.
3. Go to the MT 4 folder directory, to the “MQL4” folder. Next, go to the “Experts” section.
4. Upload files with “ex4” and “mql4” extensions to the “Experts” directory.
5. Move the files with the dll extension to the “library” directory.
6. Move the set of Moving Average indicators to the Indicators folder.

Next, you need to restart the terminal and start setting up the robot. After installing the archive, you need to download additional files with settings. They are a package with basic formulas and values ​​for adjusting the parameters of the Moving Average. After downloading, go to the settings. There are no special settings. Everything is done automatically. Required:

1. Select “Magic Bot” from the list of advisers and open its properties menu.
2. In the menu, allow the adviser to trade, import DLL, change your own settings.
3. Next, open the settings menu of the robot itself.

Further, only the following parameters are configured:

1. Time frame – preferred H1 and above.
2. Assets. Preferred assets with dollar, for example, GBP/USD, EUR/USD.

Additionally, you can set the minimum distance in points between open deals. This parameter allows you to increase open positions following the trend. All other settings have already been loaded earlier and are installed automatically, thanks to the DLL import. Next, the settings need to be tested. This can be done using third-party programs or on a demo account. What makes the Magic Bot trading robot special: https://youtu.be/H0VXfrRs9Xg Magic Bot is an efficient software that is equally suitable for beginners and professionals. Its main advantage is the availability of a full package of individual settings that respond to changes in the market situation for the asset. This approach helps to significantly reduce trading risks,