You can run your EAs on Deriv MT5
An expert advisor, also known as an EA, is essentially a program that automatically trades. This program (or robot) will follow the trader’s instructions if it meets certain criteria. Therefore, this can be thought of as a form of automated trading, as traders do not have to do anything to execute an order. This program basically works with if-then conditional statements to create mechanical rules.
Why investors use EAs on MT5?
Besides executing transactions, the Expert Advisor also has control over the size of the position when placing an order. The size of this position is affected by the size of your account. This is because even if the size of a position is of equal value in euros, for example an account with 100,000 euros will be a small part, but an account with only 1,000 euros will be a large part. Therefore, the EA needs to consider the equity of the account when sizing the position.
EA can be easily installed on the MT5 platform. If you are already following a process or your system is running, you can create an EA to follow the same process on signal. So the EA essentially mimics whatever the user does. The EA is especially useful for traders who trade many currency pairs or busy traders who cannot trade very often. Even if you can’t turn to your computer or look at the MT5 screen, EA will continue to look for trading opportunities for you.
Simply leave your computer on and EA will place an order or withdraw from the transaction. In addition, you can study the performance of the EA over time. This is an opportunity to test the instructions and criteria you have set.
Keep in mind the drawbacks of using an EA. These drawbacks also include the need to have a stable internet connection. Most EA’s are set up for a particular market, but some work for multiple trading pairs-just know what you are trading. Because EA is a mathematical algorithm based on technical analysis, trending markets tend to work better than flat markets. This also means that you should be aware of sudden fundamental movements.
Since the EA will execute transactions automatically, it is very important to set the risk level considering the account size.
Challenges related to EA
There are hundreds of EA programs available for download from the internet. However, there are advantages and disadvantages to such programs, so you need to be careful when choosing them. You can read the reviews before deciding which EA to download. You also have the option of writing your own program. This is a bit complicated, but it’s worth the time. You can also ask a freelance programmer to create a program for you.
How to set up Expert Advisor in MT5
Create or download an expert advisor. Copy the EA file from the saved location. After that, you need to find the MetaTrader5 folder on your computer. Open this folder and look for the folder in the expert. Open this folder and paste the EA file. Your computer may display a pop-up asking for administrator permission. Click the continue button.
This should open the MT5 platform. The navigator window is displayed at the bottom left of the screen. There should be a folder named Expert Advisor there. Click on the + sign to the left of the Expert Advisor folder. This folder should also show the desired EA. Click on the desired EA and drag it to the chart.
A popup will open where you can change settings and alerts. Click OK when you are done.
It is not possible to apply two EA to one chart in MT5. However, it is possible to run more than 100 EA on one trading terminal. So if you want to run two EA’s, you can simply open a new chart window and apply the EA you want to run on each one. Simply open as many windows as you want to run and apply different EA to each.