Hello, dear traders, this is Petko

Alexandrov and I continue now with the reactor. This is the tool you can find, if

you click the arrow next to the generator, there is the reactor, there is

the validator. So the validator is where you can drop old strategies, collections,

or complete folders with strategies. And you can validate them with a new

historical data or with data from different broker. And it’s very nice

because when we generate strategies, we save them in collections and after that

we can validate them. So we don’t lose time again to generate new strategies.

But we can just filter them through the validator with the recent historical

data. So the reactor is the tool where we do everything automatically. And we don’t

need to perform robustness testing manually, or Walk Forward optimization

and validation. It is done automatically by the software and by the reactor. So

first, we have the generator settings. OK? I will demonstrate it to you how it

works and I will stick here to the GBPJPY on M15 chart. As strategy

properties, I will keep it the same 0.01 as the minimum lot. And

then I will use range from 10 to 100 pips for the Stop Loss and same for the

Take Profit. And as well in generator settings, I will

keep it search best as Net balance so I will see the strategies with most

balance on the top. And here I have the chance to choose Out of Sample and In

Sample. But here I will stay with In Sample. So I will be using the Out of

Sample in the Walk Forward optimization. And below is the common Acceptance

criteria. If I click on it, you will see that I have minimum backtest quality of

98 at the moment, Minimum count of trades 300, which is just fine. And I will add

minimum Profit factor of 1.1. Where is it, right over here, 1.1.

And as well I will add minimum Profit factor for the In Sample part and for

the Out of Sample part which I will use in the Walk Forward optimization. OK? Profit

factor 1.1 and here as well i will choose Profit factor of 1.1. So I want to

have Profit factor of 1.1 for the complete backtest for the In Sample

part and for the Out of Sample part. Now, going back to the reactor, I will go to

the Walk Forward optimization. I have the choice whether to use it or not. Actually,

all the tools below I can select if I want to use them or

not. At the current moment, I have selected the Walk Forward optimization

and the Monte Carlo validation and this is what I will use now, and you can see

they are displayed on the right side. So what is the idea of the reactor? That

when the strategies are being generated they automatically go to the

Walk Forward optimization or the tool you have selected here to use. And if

they pass this optimization, or the validation, or whatever you select to use,

they will go to the next one. So from the Walk Forward optimization, in this case,

they will go to the Monte Carlo validation. And it will perform the

variety of tests that I have shown in the previous lecture. And if the strategies

pass, then I will see them in the collection. OK? So here, the reactor does

all the job automatically, and before we were doing it manually. For each strategy

we were performing optimization, robustness testing, and now when the

reactor is available, it’s available actually from last year, it is very easy

to do it because we just need to set up the reactor and it filters the

strategies automatically. And at the end, in collection we have the strategies

that are within our Acceptance criteria. So for Walk Forward

optimization, what I will be using is a lower number of segments. So I will go

down to 3. So it will be the very same thing that I have already showed

but with 3 segments. My recent tests showed that it works a little bit

faster to generate strategies and personally I like it at the moment to

work with 3 segments and not with five. Of course, if you want to generate

your own strategies, you can test with 3, with 4, with 5, with any other

number. OK? For Out of Sample, I will stay with 30%, search best; net balance, and let

me have a look at the settings that I have in the Walk Forward. In settings I

will choose 3 segments, Out of Sample below is just fine, as a validation I

will stay with minimum of $10, and here are the parameters, the statistics. And

actually here you just have a look at the statistic. Alright? Going back to

the reactor, I have the Out of Sample percentage, Net balance, the Walk Forward

settings are fine, validated segments if I choose to use 3 then I want to

have 3 out of the 3 segments validated. And here you can select if you

want to use the common Acceptance criteria or not. Yes I want the final

backtest with the last parameters to be validated with the Acceptance criteria.

And I have already said it in the generator, it’s the same here. So I would

like my strategies to have 1.1 Profit factor for the complete backtest

for the training part and for the trading part. OK? And then we go to the

Monte Carlo, I will stick here with the default settings. And as I have shown, I

use normally the strategy variations, the randomized indicator parameters, and the

randomize backtest starting bar. So this is how I set up the reactor, and this of

course, is an example. One more time, if you want to do it in a

different way you are very welcome to experiment. This is how actually traders

learn trading. OK? I will click on start and you will see the strategies are

being calculated. So one more time, those of the strategies that pass the

generator, they will go through the Walk Forward optimization, and then if they

pass the Walk Forward optimization they will go to the Monte Carlo validation. So

in generator, the strategies need to pass the Acceptance criteria. OK? The very

same Acceptance criteria that is after that with the Walk Forward optimization.

Now, what is the great thing with EA Studio? It is web-based and I can set the

very same thing on another browser. So if I open one more time our website,

EA Forex Axademy, and I go to the Expert Advisor Studio which is integrated and I

log in to my account, I have some old work here with EURUSD strategy that

loads automatically. And I will run now a reactor but I will separate the top. OK?

It works faster if I separate the top. So I have already done it for the GBPJPY,

now what I will do, I will set it up for the EURGBP. I will stick on M15

and then the same settings should be saved but I always check them one more

time. And here, I will use working minutes 600. OK? Let me have a look if I

have done that with the other, no I forgot to do that. So let me do it for

600 minutes. OK? I want to run the reactor overnight, now it’s at the end of

my working day. And I normally run the reactor at the end of the working day so

the morning I have new strategies into the collection. So 600 minutes is exactly

10 hours and it works fine for me to leave 3 reactors working overnight. So I

will do the same thing here, 600 minutes for the EURGBP. The

Acceptance criteria, it did not save. In this case I will need to do it one more

time, so 300 count of trades and minimum Profit factor of 1.1. And I will do the

same for the Acceptance criteria in the In Sample part,

minimum Profit factor of 1.1. And then I will have a minimum Profit factor of 1.1

as well in the Out of Sample part. OK? Here it is. And then for the reactor, I

will choose to use Walk Forward optimization which is right over here.

And of course, I need to select 3 as well as validated segments. Let me have a look

at the Walk Forward settings, here should be 3. And here it is, it’s ready now. And

the Monte Carlo is saved to 20 and 80%, same for the strategy variations. OK? So I

think I am ready now and I will click on start. And you can see both

reactors work simultaneously. OK? This saves a lot of time because we can run a

couple of reactors. I normally run 3 to 4. Just don’t make it too complicated,

make sure you organize your work if you decide to generate your own strategies.

So one more time, I will open the Expert Advisor Studio, separate tab. And once you

are used to do the setup and you are used to work with the Expert Advisor

Builder, you will see how quickly the things happen. So I will have it for EURJPY,

right? Let me check one more time, here I have it for EURGBP, and here I

have it for GBPJPY, and I will have it here for the EURJPY. On H1 chart,

strategy properties, it is the same. Minimum lot of 0.01, Stop Loss range from

10 to 100, Take Profit range from 10 to 100, and generator settings 600 minutes.

Common Acceptance criteria, let me do it, so it’s 1.1

Profit factor, 300 count of trades, as well Profit factor of 1.1 for the

In Sample part and 1.1 for the Out of Sample part. OK? Here it is. Going

back to the reactor, I will select the Walk Forward optimization where I said

3 segments out of the 3 should be validated. And as well in settings I will

change to 3 segments. OK? And now I am already with the last reactor. I will

click on start and you will see now that 3 of them are working simultaneously,

and let me bring them together on the screen. Here it is, it’s for EURGBP

on M15, GBPJPY on M15 and EURJPY. Actually here I did not change the

period, it’s on H1, I wanted to be on M15. Now, it is ready and you can see 3

of them are working simultaneously on one computer. And if you run more, they

might get a little bit slower. And at the moment I have another 3, or actually 4

open which I started earlier. That’s why it’s getting a little bit slower. But

normally, I keep it 3 to 4 just to take the best of it. And you can see here

that for the EURGBP, already one strategy passed the Acceptance criteria

in the generator, or this is the common Acceptance criteria. Right? Then it went

to the Walk Forward optimization, it passed the Walk Forward optimization. But then

it couldn’t pass the Monte Carlo. OK, guys? So this is how it is working, it is very

easy to set it up. I will leave it now and I will show you what are the results

that we generate. Thank you for watching. Cheers.