Top of the page

General aspect of the functioning of our robots


You must have an account with a CFD broker that has the Metatrader 4 (MT4) platform to use our robot.


You can use a live account or a demo account.

 

 Brooker Partner :

 

Once you have opened your MT4 account, all you need to do is install our EA (Expert Advisor) on your trading platform to be able to follow the indicators of our robots or even to automatically trade all the signals launched by our robots on the CFD FRA40 (CFD replicating the evolution of the CAC40), the CFD replicating the DAX or the CFD USA500 (CFD replicating the evolution of the S&P500).

See the Notices/FAQ section for an explanation of the installation of AEs and their use.

 

How our R2D2 Trading robot works

Our robots allow you to trade CFDs (Contract For Difference) on indices.

Etape 3

CFDs allow you to take positions to gain on the upside or the downside.

 

Our robots are unaffected by the market trend, they gain as much in a bear market as in a bull market.

 

During phases without a trend (or trading range), either our filtering is engaged while waiting for a more favourable period to trade or our robot accumulates some small losses while waiting for the next trend which will erase these losses very quickly in 1 trade.

 

See all the statistics of our robots in the section :

- Portfolio Types / Simulator

 

The bot only analyses the market during the opening hours of the stock market, i.e. between 9am and 5.30pm (French time), the rest of the time, if there is an open position, it will be maintained.

Etape 6

Every minute, our servers analyse every stock, for the entire French market for the R2D2CAC robot (or for the German market, for the R2D2DAX bot and US market fort R2D2SP bot).

 

This analysis makes it possible to determine the trend for each stock.

 

After studying the entire market, the bot then compiles the results to determine a leading indicators of market sentiment.

 

 

Etape 7

Based on these indicators, our robot then examines the situation, and based on the current trading position determines whether to close the position, open a new one or reverse the position.

 

All these calculations are carried out in an average of 100 milliseconds, or about 0.1 seconds.

 


These indicators and the trading signal are then made available to all R2D2 trading subscribers.

 

 

Etape 8

 

We provide you with Expert Advisors for Metatrader 4 (MT4) which then replicate our trading signals on your index CFD account. Once installed on your platform, leave it open and our robots will take care of everything.

 

Your EA R2D2_client_XX communicates with our servers.

It then retrieves all the necessary information in a few tenths of a second and displays it on your chart in your MT4 trading platform (Metatrader 4).

Click on the graph opposite to see a close-up.

If you have set up the EA for automatic trading, it will manage, open or close trades when our robot gives it a signal.

You can see the current position of our robot (No trade, Buy or Sell), and the two indicators short term and very short term. The indicators are bounded between -100% and +100% and provide a market sentiment and power (+ bullish, - bearish).

 

 

Top of the page

Top of the page

Special features of the R2D2 version Elite


How to use the Elite version

Comment utiliser la version Elite

 

 

 

The Elite version is activated by default in your EA. There is nothing to do. This version includes and manages the size of the positions automatically according to the circumstances and analysis of the bot.

 

 

 

 

 

 

Explanation of how the Elite version works

The Elite version uses the same signals as the standard version, so trades are opened and closed at the same time.

The only difference is the addition of a money management system that allows you to vary the number of lots traded at each signal.

This system has been specially developed to use drawdown phases to advantage. Based on the specific statistics of the standard version, its success rate and the average size of its drawdown peaks, the system calculates the optimal number of lots to compensate for the loss accumulated so far as quickly as possible.

Our trend following system has an average success rate of 36%, which means that statistically we have one winning trade for every two losing trades. The winning trade gains more points than the 2 losing trades combined. This statistic shows us that if we slightly increase our exposure to each loss, when the winning trade appears, we will have more lots and therefore more gains.

Each time the Euro winnings compensate for the loss accumulated by the 2 losing trades, the number of lots returns to its original level.

This system allows us to take advantage of any small losses we may make by multiplying our gains on winning trades.

 

We have also integrated a "reset" system. In fact, during major market phases that are not very favourable to our system, you can have a drawdown that grows without having enough gains to compensate for it at first.  If the drawdown reaches a certain limit, the Elite system resets, i.e. it starts again with a minimum exposure, so as not to accumulate too much drawdown. This is an important safety feature.

 

Use our simulator (simulator link) to calculate, depending on your capital and the number of lots you wish to use, the gain you would have had and the maximum drawdown in euros you would have suffered. You can see in the simulator table the risk you have to assume and your leverage. Too much leverage would make you run the risk of a total loss of your capital before you could even take advantage of the profitable phases of our robot.

 

Real example

Exemple

The attached table shows a series of actual trades in June 2013 with the number of lots (euros per index point) for the standard version (fixed at 1) and for the Elite version (variable).

 

The first 6 trades are losing trades each with few loss points. During this losing phase, the Elite version increases its exposure (number of lots) in order to compensate this accumulated loss as soon as there is at least one winning trade (within the limit of an exposure 5 times higher than the initial exposure).

We can see that the first series of losses caused us to accumulate a loss of 36 index points, i.e. 36 euros for the standard version and 95.5 euros with the Elite version.

The next trade is a winning trade that generates a gain of 51 points, i.e. 51 euros for the standard version and 255 euros for the Elite version. The gain more than compensates for the loss on the Elite version which will return to its minimum exposure. The standard version also makes enough gain to erase the accumulated loss, but often this is not enough, so it will take another gain to erase this loss while the Elite version will already be accumulating gains.

We can see that the second series of trades generates a drawdown of 38 points or 92.8 euros for the Elite version, which will be compensated by the winning trade of 46 points so 230 euros with the 5 lots to arrive at a cumulative gain of 320.7 euros.

Any drawdown spikes of 100 pts or less, which is the majority of cases, will be very beneficial for the Elite version. Each set of losses will increase the exposure to the real gain the strategy is aiming for and thus multiply that gain.

With the Elite version, a series of losses is no longer seen as a loss to be made up but as an opportunity to earn more on the winning trade !

Top of the page
back
Top of page

Warning: CFDs and CFD trading robots are leveraged products that involve a high level of risk to your capital. It is possible to lose more than your initial investment and account balance. You should only speculate with money you can lose. This type of investment is not suitable for all investors, so make sure you fully understand the risks involved and if necessary seek independent advice before initiating any trades. The trading signals provided by our robots are not advice, you should seek financial investment advice to use our signals or automation. CFD trading strategies are computer codes that allow you to buy and sell derivative financial products. R2D2trading does not provide any advice to clients on how to use the strategies. Clients remain the sole judges of the relevance of the strategies (whose operation is published and explained on the site) and are 100% free to activate or interrupt the implementation of these strategies on their accounts. R2D2trading will not be held responsible for any losses incurred by the client due to technical problems, in particular those related to the internet connection, our servers or the EAs provided.