Strategy Tester Report: EA-004_SMA_10_30_Cross
Executive Summary
The strategy backtest for EA-004_SMA_10_30_Cross on XAUUSD.PRO (M1 timeframe) covering the period 2026.01.02 to 2026.07.01 resulted in a total net loss of -$994.01, representing an almost complete account depletion (-99.4% drawdown) from the initial $1,000.00 deposit.
Strategy Parameters & Configuration
- Symbol / Timeframe: XAUUSD.PRO / M1 (1-Minute)
- Strategy Type: Fast & Slow SMA Crossover
- Moving Averages: Fast SMA (10 period) / Slow SMA (30 period)
- Position Size: 0.01 Lot (Fixed)
- Stop Loss (SL): 300 Points
- Take Profit (TP): 600 Points
- Trade Management:
- Break-even: Enabled at 150 points
- Trailing Stop: Enabled (Start: 200 points, Distance: 200 points)
Key Performance Metrics
| Metric |
Value |
| Initial Deposit |
$1,000.00 |
| Total Net Profit |
-$994.01 |
| Gross Profit |
$5,225.86 |
| Gross Loss |
-$6,219.87 |
| Profit Factor |
0.84 |
| Expected Payoff |
-$0.27 |
| Sharpe Ratio |
-5.00 |
| Maximal Drawdown (Equity) |
99.42% ($1,019.25) |
| Absolute Drawdown |
$994.01 |
Trade Statistics
| Metric |
Total |
Short (Sell) |
Long (Buy) |
| Total Trades |
3,745 |
1,855 |
1,890 |
| Win Rate |
39.87% |
39.51% (733/1,855) |
40.21% (760/1,890) |
| Winning Trades |
1,493 |
- |
- |
| Losing Trades |
2,252 |
- |
- |
| Average Win |
$3.50 |
- |
- |
| Average Loss |
-$2.76 |
- |
- |
| Largest Win |
$6.02 |
- |
- |
| Largest Loss |
-$3.03 |
- |
- |
| Average Holding Time |
4m 31s |
- |
- |
Key Analysis & Observations
- Severe Over-Trading on Noise:
- Executing 3,745 trades over 6 months (~20+ trades per day) on a 1-minute chart exposes the account heavily to market noise and spread costs.
- MA Crossover Lag in Ranging Markets:
- Pure SMA crossovers perform poorly in choppy/sideways markets, generating repeated false breakout signals (whip-saws).
- Negative Expectancy:
- With a 39.87% win rate and an average win of $3.50 vs loss of -$2.76, the expected payoff per trade is -$0.27, guaranteeing long-term account decay.
- Drawdown & Risk:
- The maximum equity drawdown reached 99.42%, causing complete margin exhaustion.
Recommendations for Optimization
- Timeframe Higher Shift: Test the strategy on H1 or H4 timeframes to filter out M1 noise.
- Trend Filter Addition: Incorporate a higher-timeframe trend indicator (e.g., 200 EMA) to only take trades in the direction of the dominant trend.
- Filter Ranging Regimes: Add an ADX (Average Directional Index) or Volatility filter to avoid trading during low-volatility consolidation phases.
