AlphaCode - J.J Murphy (EURUSD)

Bot: J.J. Murphy 
Symbol: EURUSD 
TimeFrame: h1

(This robot only works on EURUSD h1 timeframe).

Updates Every Week. Check Backtesting version

Download Backtesting version https://alphacodelab.com/cbots/

 
To buy bot, please contact:

 Email: AlphaCodeInvestments@gmail.com 
Telegram: https://t.me/Alpha_Code_Investments

Price: 25usd/year  
          99usd/lifetime 

(and access to every update)

"Technical Analysis is very much like assembling a huge jigsaw puzzle, where each technical tool represents a piece," John J. Murphy.

The J.J. Murphy cBot is an algorithm that seeks market opportunities based on the technical analysis theory championed by John J. Murphy himself in his seminal work, "Technical Analysis of the Financial Markets."

This bot incorporates strategies for both trend continuation and trend reversal, including:

1. Head and Shoulders Strategy: A strategy based on the identification of this pattern and the necessary conditions for its effectiveness within the context.
2. Double Top Bottom: A trend reversal strategy based on identifying 2 patterns that signal a price reversal at certain levels.
3. Triple Top Bottom: A trend reversal strategy based on identifying 3 consecutive patterns that, depending on the market context, signal a price reversal.
4. Flag: A strategy based on identifying the Flag pattern with a clear trend and the necessary conditions to validate the pattern.
5. Pennant: A strategy based on identifying the Flag pattern with a clear trend and the necessary conditions to validate the pattern.

Risk Management:

The bot has maintained consistent profitability over 8 consecutive years from 2016 to 2023. Starting with an initial amount of 1000 USD and investing 1.5% of the portfolio per trade, the result is 120,121 USD, equating to a return of 12,012% on the initial amount over the period.

The distribution of returns using progressive investment is as follows (Period 2016-2023):

During the last year (2023), the consistent profitability was 145% from January 1, 2023, equivalent to 1,454 USD with an initial amount of 1,000 dollars.

The maximum drawdown experienced was 18.57% over the year, with a maximum equity drawdown of 29.62%. It can be observed that current market movements reward the strategies implemented in this robot with a Profit Factor of 2.22.

If you are looking for a safe and risk-free strategy that depends on a percentage of your portfolio, you should disable the "Active Progressive Investment" option. This will result in investments based on the "Volume" parameter, which by default is set to 1000. It can be noted that the return for the safe investment is 325% for the same 8-year period, maintaining consistent profitability throughout the period and resulting in a profit of 3249 USD.

In this scenario, the maximum Balance DrawDown and Equity Drawdown were 19% and 20%, respectively. Here, we have a consistent Profit Factor of 1.8.

The distribution of returns, when not set as a percentage of the portfolio, varies due to the number of different trades for each strategy. In this case, the most profitable strategy is the “Pennant Pattern,” generating 958 USD over the period 2016-2023.

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