Phibase RayScalper Forex EA | Performance Test Review
Performance Test Start Date: 06.09.2015
Vendor’s Official Sales Page Online: [Here]
We been exposed to RayScalper earlier when we have initially started to test Phibase’s other EA called “Cabex” and the more been reading further about RayScalper it has put more interests for us to further put Phibase’s 2nd product on our test line. So we will be monitornig RayScalper for the upcoming two months on a live test myfxbook account and seeing how it does on our own account in a live market conditions.
Vendor’s Official Description:
Ray Scalper is the result of our research in the field of ray tracing and efforts to enable implementation of the concepts into Forex trading. this EA has been developed keeping in mind the requirement of short term gains of most traders. Ray Scalper provides good portfolio diversification since its trading strategy is completely different from any other EA currently available commercially.
Ray Scalper is based on the concept of ray tracing. Support/Resistances are calculated using Fibonacci levels, weekly classical pivots and other standard methods. These levels are considered as objects. The EA close of every 15 minute bar the EA shoots out rays in both long and short directions. The default target price (H1 ATR) is placed at distance about 6 hours. Rays which were able to reach the target without cutting across any support/resistance levels are considered for trading. The EA opens a long or short trade based on the best possible ray’s direction. Stoploss is placed at 4x the H1 ATR. This allows the EA enough room to close trades which does not work immediately in its favor.
The minimum capital required to trade with Ray scalper will depend on the account type being used. For standard accounts with minimum lot size increment of 0.1, the capital required would be $3500. Ideally $5000 or more. If your account supports micro lots you can get started with $500. In case your capital is lower than $500 it is highly recommended to use nano or cent accounts which will enable the EA to effectively use money management. Professional traders and advanced users may choose to operate using fixed lot sizes and manage trade size manually.
Auto Money/Risk Management:
Ray Scalper calculates trade size based on the account balance. The trade size calculated is independent of the actual broker leverage – that is, the size will be same on an account with leverage 1:400 and an account with leverage 1:50.
When max_allocation is 8 and start capital is $10,000 the trade size calculated will be 0.32 lots (Accounts with increment 0.01). If your broker account does not support your micro lots and the minimum increment allowed is 0.1 (Mini lot) then the trade size will be calculated as 0.3 lot.
When the max allocation is set as 5 for start capital $10,000 the trade size calculated will be 0.16 lots (Accounts with increment 0.01). If your account does not support your micro lot and the minimum increment is 0.1 (mini lot) then the trdae size will be 0.2.
Ray Scalper can automatically detect the base currency of the account and calculate trade size. So for a given allocation the risk level will be same for an account base currency USD/EUR/JPY. You do not need to adjust risk manually for different base currencies.
Ray Scalper uses geometrical position sizing which is a perfect anti-martingale method. In this money management system the trade size increase with increase in account balance and decreases with decrease in account balance. The money management strategy is designed to protects your account from blow out and margin calls.
Key Features as listed by the vendor:
Trading Strategy Based On Concept of Ray Tracing
Price Action Analyzed on M15 and H1 timeframes
Strategy based on M15/H1 Trading Range Channnels & Fibonacci Levels
Multiple Time Frame Analysis
Recommended Currency Pair – EURUSD
Professional Trade and Money Management
Protective Server Side Target Price (~ 60 to 300 pips)
Protective Server Side StopLoss (~ 60 to 200 pips)
StopLoss placed above/below second level of support/resistance
Option to Trail StopLoss above/below first level of support/resistance
Intelligent Trailing StopLoss – excellent locking in of gains
Average Profit:Loss ratio 1:2
Trade success rate of 75% (over 7 year tickdata backtest)
Option to improve R/R ratio by enabling exit strategy (improves R/R to 3:4 for success rate 65%)
Opens only one trade position at a time – trades every signal.
No Martingale – No Pyramiding – No Pending Orders
NFA Compliant : No Hedging – Follows FIFO
Lifetime license – 2 Real and 2 Demo accounts
Broker independent – Minimal differences between different brokers accounts.
Lifetime support and free updates for ONE Year
Optional annual update renewal fee of US$ 35
Trades all accounts types – Micro, mini, and standard accounts
Works with 4 and 5 digits brokers
Operates on any MT4 broker – ECN, STP, NFA regulated broker
24×7 Email Support (response time less than 6 hours)
24×7 Email Technical Support (response time less than 12 hours)
Technical chat session available with prior appointment
RayScalper V2 vs V3 Performance Test:
The hard server side trailing stoploss is coupled with a dynamic hidden stoploss mechanism to lock in gains better. This will also reduce the broker related trading differences seen in V2
Ray Scalper Version 3.0 vs 2.03 : Basic data analysis
Vendor’s Live MYFXBOOK Performance Test:
Vendor’s Strategy Tester Report
Ray Scalper Version 3.0 : 2007-2014 Tick Data Back Test with Fixed_LotSize=0.1
Fixed Lots can be used in case the traders portfolio is made up of several EA’s and the gains are always withdrawn on a monthly basis. This test is also useful to study the equity curve without the effect of compounding hiding drawdowns.
Fixed_LotSize=0.1; FinalTarget_x_H1_ATR=8; StopLoss_x_H1_ATR=4; Trail_StopLoss_x_H1_ATR=2; Trail_Trigger_x_H1_ATR=1; (and all other custom parameters – unchanged)
Ray Scalper Version 3.0 : 2007-2014 Tick Data Back Test with Max_Allocation_Per_Trade=8 (Geometric position sizing)
Ray Scalper uses geometric position sizing for money management. Max_Allocation_Per_Trade=8 is default which makes the EA trade with lot size of about 0.32 per $10000. The lot size is scaled relative to increase/decrease in equity. MAx DD of about 22% was seen in backtests since 2008. A max DD of 42% was recorded towards the end of 2007 – This could happen in future but is considered highly unlikely since the trading conditions prior to 2008 was very different from what is seen post 2009.
Max_Allocation_Per_Trade=8; Fixed_LotSize=0.1; FinalTarget_x_H1_ATR=8; StopLoss_x_H1_ATR=4; Trail_StopLoss_x_H1_ATR=2; Trail_Trigger_x_H1_ATR=1; (and all other custom parameters – unchanged)
Trading Strategy Behind RayScalper
Phibase has implemented a highly versatile entry logic for RayScalper. This makes this strategy handle low as well as high volatility price actions much better than the earlier versions.
Version 2 is an excellent scalping strategy. However, larger gains are isolated to certain winning phases during favorable price actions. It is highly impossible to predict when such winning phases will occur. Ray Scalper Version 3 has better gain distribution without compromising on the scalping nature of the EA. The Risk:Reward ratio (5:2) was one of the major weakness seen in earlier versions of Ray Scalper. The strategy and trade management has been completely revamped to address this issue. V3 now delivers a risk reward ratio of 3:2 while maintaining the success rate at over 68%. The new strategy will also be able to reduce the performance differences seen between some brokers.
A brief description about the strategy: Ray Scalper Trading strategy is based on a forward flow model. The EA is partly based on technical levels, but the core logic is based on the concept of ray tracing. All analysis are based on M15 and H1 bars. Fib levels are calculated based on H1 bars. Hourly trading range, M15/H1 trading channels and bands provide the required support/resistance levels to complement the Fib levels. The support/resistance levels are treated as objects in the model. Support resistance levels are not treated as absolute values, but as a buffered (5 to 10 pip) layers (objects) – the S/R also have a time span (length), for example, Channel levels are drawn from current time to a breach of channel level only. The S/R obtained from H1 bars will have the time span equal to the duration of the high/low between which the fib level was drawn. Describing the strategy using a physical model makes it simpler. At the close of every M15 bar, the EA places the TP at a distance of 12 hours. The S/R objects are ‘placed’ at various levels accordingly. If a Ray is able to be drawn between the current M15 bar open to the TP without cutting any of the objects, the trade is entered. In case the ray is valid for both short and long, the H1 trend (The current price’s relation to the price movement over the past 12 hours) will help the EA decide the trade direction. Ray Scalper does not use any long term indicators and confines its analysis based on only M15 and H1 time frames. Previous historical data of about 3 days is sufficient for the EA to function. The EA works on M15 time frame. All analysis are performed at the beginning of a new bar. But the trade entry may be made at the new bar open or the EA may wait for a better price and make the entry at any time during the M15 bar. Trade exit is controlled by the EA (if opposite signal is generated). The trade may also exit at any time on trigger of the target price/trailing stoploss/stoploss set on the broker side. By default, the EA will set all TP/SL and trailing SL on the broker server side. You can set the parameter “Use_Hidden_SL_TP=true” to enable the EA to use hidden TP/SL – in this case the EA will send out trade close execution request to the broker when price triggers the TP/SL or trailing SL level. The EA is not data feed or spread sensitive and has been performing reasonably similarly on most broker accounts.
Ray Scalper is a product of PhiBase Technologies. Our first product, PhiBase Synergy, was released in February 2012 and has been performing very well. PhiBase Technologies is one of the most respected developers of Expert Advisors in the Forex trading community. At Phibase, we value honesty-professionalism at every level and work towards making automated trading successful for our members. PhiBase also provides members with regular technical reports based on important events or additional information which would help them understand the trading system better. PhiBase has one of the best customer support in the industry.
Our Live Test Account (Original, default settings):
Test Begins: 06.09.2015
Disclaimer – “Stocks, Options, Binary options, Forex and Future trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the stock, binary options or futures markets. Don’t trade with money you can’t afford to lose especially with leveraged instruments such as binary options trading, futures trading or forex trading. This website is neither a solicitation nor an offer to Buy/Sell stocks, futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results. You could lose all of your money fast due too: poor market trading conditions, mechanical error, emotional induced errors, news surprises and earnings releases.”