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Forex Tools : Spreads - BankingFx Tools Spread Controller
- BankingFx Tools Spread Monitor
The Product BankingFx Tools Spread Controller is an indispensable tool and easy to use in order to test Expert Advisor on MetaTrader 4 platform.
Works with all pairs and digits:
( 1.5562 | 0.93842 | 2.25 | 1.328 )
Spread in Forex is the difference between the sale price and the purchase price (ask - bid) of a given currency pair. For example, if the EUR-USD pair is priced at 1.4425 and bought at sale price of 1.4422, then we have a spread of 3 pips or 0.0003.
As we all know, almost all Forex brokers use variable spreads, and when we do a backtest the spread used for the test is the one of beginning of the test, that is, when we started a backtest the spread used for this test is the time of the beginning of the test, and this spread value can generate false results.
Each broker has different spreads variation.
- Yellow means the minimum spread value.
- Red means the maximum spread value.
- Green means closed or current spread value.
The Tool BankingFx Tools Spread Monitor is an indicator, which records all changes in spreads, can be attached to several pairs of the same platform.
With this tool you can easily view and clear the whole range of spreads, so you can determine the best spread value to be used in your backtest.
As shown in the chart below, there is a wide range of spread. If our expert advisor typically works in the Asian session, we must have as reference the average spread of that time, because if we do a backtest with a spread of less value, the profit will certainly be higher, creating a false expectation of profit, which may cause great losses.
Here is an example of a backtest with Expert Advisor in Asia session, with the pair GBP-CHF 15min using the
spread of 5 pips :
Now see the backtest of the same Expert Advisor, at the same time interval, with the same pair, but using the
spread test of 10 pips : :
The results are very different, this can mean the difference between profit or loss.
Personally, I use a safety margin of 20% to 50% more than the spread average of the time I want my expert advisors to work. For example, if the expert advisor will work in the Asian session, and the spread average - maximum is 10 pips - the ideal would be to test the expert advisor with a spread of 12 pips, then you would have a reliable result and know if your advisor and expert setting could be profitable or not.
Watch this video about the operation of BankingFX Tools Spread Controller:
The results are highly reliable and you can use your Expert Advisors and settings obtained for other platforms such as MetaTrader5.
The purpose of the tool BankingFx Tools Spread Controller, is that you can change the value of the spreads and make reliable backtests, thus avoiding false profit.
BankingFX Tools Spread Controller:
$35 [](link.php?prodid=1) Instant access
OR
Complete Solution Package:
- BankingFX Tools Spread Controler
- BankingFX Tools Spread Monitor
$59.90 [](link.php?prodid=3)
Instant access
The price of this tool is very low and insignificant compared to the benefits they can provide. Its use can mean the difference between winning and losing can be $100.00 or $1,000,000.00.
Remember that in Forex because of the high leverage (up to 1:500), if you have a good Expert Advisor with a great setting you can get high profits.
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