Trend EUR/USD Conservative
Balanced Portfolio V1
- 12M return
- +14.2%
- Max DD
- -6.1%
- Sharpe
- 2.04
Hedge Dual Channel V1
Dual-channel trend EA for EUR/USD with a built-in partial hedge mechanism. Trades breakouts from a 48-bar channel and opens a hedge leg when the trade moves against position by 15 pips — reducing interim drawdown without abandoning the primary thesis.
Key risk metrics
The numbers a serious trader looks at first.
- Max drawdown
- -9.6%
- Worst streak
- -11.2%
- Recovery time
- 28d
Worst peak-to-trough in 2020–2025 backtest.
5 consecutive losing trades, single cluster.
Time from drawdown trough to new equity high.
Performance
Returns are presented in context, not in isolation.
- 12M return
- +18.4%
- 5Y CAGR
- +16.7%
- Sharpe
- 1.73
- Win rate
- 62.4%
- Trades / month
- 22
- Sortino
- 2.48
Backtest equity curve
2020–2025, Exness real spread tick data, modelling quality 99%
Equity curve from 2020-01-01 to 2025-12-31 on the primary pair (EUR/USD). Modelling quality 99%. Past performance does not guarantee future results.
Annual returns
Year by year
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| +14.1% | +18.8% | +13.9% | +17.2% | +18.4% | +20.1% |
How it works
Hedge Dual Channel V1 trades in the direction of a breakout from a 48-bar M30 channel, entering after two consecutive closes beyond the channel boundary. The primary leg rides the trend with a trailing stop set at the channel mid-line.
The distinguishing feature is the partial hedge mechanism: if price retraces against the primary position by 15 pips (configurable), a hedge leg opens at 0.5x the primary lot size. This is not a full hedge — it is a drawdown buffer that reduces paper loss during retracements while keeping the primary trade open to capture the full channel move.
The hedge leg closes when price returns to the channel mid-line; the primary leg continues trailing.
The logic behind partial hedging
Full hedging (equal lot size in both directions) is mathematically equivalent to exiting the trade — it freezes PnL and generates two lots of spread cost. Partial hedging at 0.5x is different: it reduces interim drawdown by approximately 40% (given the hedge covers half the loss) while keeping the primary trade alive for trend continuation.
The strategy is specifically designed for EUR/USD and GBP/USD because these pairs have a historical tendency to fake breakouts before continuing in the original direction — the partial hedge absorbs the fake-out cost.
Risk profile
- Max drawdown -9.6%, observed during the EUR/USD trending range collapse of Q3 2022 when the channel contracted and generated multiple fake-outs.
- GBP/USD supplementary trades contribute ~30% of total volume; they are gated by the 20-day correlation check (default enabled).
- Recovery within 28 days in all observed drawdown periods — the channel structure means a new directional move typically resolves within 4–6 weeks.
Recommended deployment
- $3,000 minimum to sustain the primary + hedge leg simultaneously with comfortable margin.
- Exness preferred for EUR/USD spread; their tight ~1.0 pip spread materially improves the hedge leg economics (opening a 0.5x lot purely for drawdown reduction is spread-cost sensitive).
- M30 requires VPS with sub-100ms latency for reliable candle-close detection.
What the EA does NOT do
- It does not pyramid — the hedge leg is the maximum second open position, no additional legs are added.
- It does not average down using the hedge leg as a disguise.
- The hedge leg is not a directional trade — it does not have its own take-profit beyond the channel mid-line close trigger.
Frequently asked questions
- Does "hedge" mean it holds buy and sell at the same time?
- It can run dual-channel positions to manage transitions, but every leg is independently sized and stopped — there is no martingale or loss-averaging. The "hedge" smooths channel reversals; it does not double your exposure.
- Does my broker need to allow hedging?
- Yes. Use a broker whose account type permits simultaneous opposing positions — Exness and FXGT are verified for this EA. On a netting-only account the dual-channel logic cannot operate as designed.
- What is the trade cadence?
- About 22 trades a month on the M30 timeframe, the busiest of the trend EAs in this catalogue. Its worst backtest drawdown was -9.6%, recovered in 28 days.
Parameters
Configurable inputs
| Name | Default | Suggested range | Description |
|---|---|---|---|
| ChannelPeriod | 48 | 24–96 | Number of M30 bars used to compute the dual-channel upper and lower boundaries. Longer periods smooth the channel and reduce false crossings. |
| HedgeTriggerPips | 15 | 10–25 | When price moves against the primary trade by this many pips, the hedge leg opens. Increasing this value reduces hedge frequency but allows larger interim drawdowns. |
| ChannelBreakoutConfirm | 2 | 1–4 | Number of consecutive M30 closes required beyond the channel boundary before the primary entry fires. Prevents wick-only false signals. |
| HedgeRatioLot | 0.5 | 0.3–1.0 | Hedge leg lot size as a multiple of the primary leg lot. A ratio below 1.0 means the hedge partially offsets the primary; 1.0 creates a full hedge. |
| PairCorrelationCheck | true | true / false | When true, EA checks 20-day EUR/USD to GBP/USD correlation before opening a GBP/USD supplementary trade. Disabling this allows trades even when the correlation decouples. |
Broker compatibility
Verified spreads + execution
| Broker | Typical spread (pips) | Min lot | Execution | Verified | |
|---|---|---|---|---|---|
| Exness | 1.0 | 0.01 | market | ✓ verified | Open account → |
| FXGT | 1.2 | 0.01 | market | ✓ verified | Open account → |
Spreads observed on Standard account types during London + New York session overlap, averaged across the most recent 30 trading days.
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