Foxtrot SMA Retest EA

As a follower of The Moving Average Youtube channel, I came across a fairly simple strategy that I would like to be able to test with your help (and, an EA of course).

The title of the video is “10 Pips a Day is EASY with this Strategy” : https://www.youtube.com/watch?v=FZUJ_c6LTgE&t=282s

The essence of the strategy is to take positions based on the retest of different moving averages. As outlined and demonstrated in the video.

So far as I can tell the rules governing the opening of the positions are the following:

Position Opening

WHILE ABOVE 200 SMA

1. ABOVE 200 50 & 21 SMAs

• Wait for retest of either of the SMAs (bouncing upwards) with an engulfing candle
• Open long

2. ABOVE 200 50 & 21 SMAs

o   wait for price to fall below 50 & 21 (but stays above 200)

o   wait for retest of either with engulfing candle (bounce towards 200 SMA)

o   open short between this and the 200 SMA

WHILE BELOW 200 SMA

1. BELOW 200 50 & 21 SMAs

• Wait for retest of either of the SMAs (bouncing downwards) with an engulfing candle
• Open short

2. BELOW 200 50 & 21 SMAs

• wait for price to rise above 50 & 21 (but stays below 200)
• wait for retest of either with engulfing candle (bounce towards 200 SMA)
• open long between this and the 200 SMA

Position Closing

• Have a TP variable, default to 100 (per video)
• Have a SL variable, default to 100 (per video)
• Have an option to transform the TP into a TS once it is hit, with a default TS of 10 points (that is to say, that if the TP is 100, once price reaches this point the TP is removed and replaced with a TS to try and capture more profit)

Retest Definition

My first thought is to define a retest as having the price change direction within 0.5 ATR of an SMA, however I leave this as open to interpretation by the developer (please review video).

Additional Features

• A setting to limit trading time by day and by hour
• Money management: lots per 10k balance, or fixed lots
• The developer is free to suggest additional capabilities that they think could be helpful to ensure a higher win rate, such as a news filter, RSI divergence filter, etc.

Required Variables

•   Money Management
• SMAs 1, 2 & 3 (200, 50, 21, smoothed)
• TP level (points)
• SL level (points)
• TS – whether on / off, and what value (points)
• Max spread (beyond which an order is not opened)
• ATR for retest definition (as a multiple of ATR at the moment the EA tests the condition)

Deliverables

• Functioning EA in MT5 (runs without errors)
• Uncompiled MT5 code (compiles without errors)
• A backtest report from 2008 – 2021, using the default settings
• If the basic settings are too unstable or unprofitable, an optimization from 2008-2014 and walk forward test

Depending on the results of this first project, the developer may be retained for additional modifications or conversion to MT4.