Strategy also: grid EA, grid strategy

Grid trading

A strategy that places buy and sell orders at regular price intervals above and below current price, profiting from oscillating price movement within a defined range.

How it works

A grid EA places multiple orders at fixed pip intervals around the current price. When price moves up and hits a buy order, the EA takes profit at the next grid level. When price moves down, sell orders are triggered and closed at the next grid level down.

Grid EAs profit from oscillation. They fail in strong one-directional trends because the unfilled side of the grid accumulates unlimited unrealised loss.

The critical safety feature

Safe grid EAs have a hard basket stop-loss — a maximum loss level at which all open grid positions are closed. Grid EAs on this catalogue include explicit basket stop-loss parameters. Do not disable them.

Not martingale

Grid EAs with flat lot sizing are not martingale. Martingale grid EAs (lot size increases at each level) add geometric exposure — a fundamentally different and much higher risk strategy.

Related terms

See also