Breakout Prophy EA V1.0 MT5

Breakout Prophy EA V1.0 MT5: A Comprehensive Guide💫💫

The Breakout Prophy EA V1.0 MT5 is an expert advisor (EA) designed for the Meta Trader 5 (MT5) platform. It aims to capitalize on breakout trading opportunities by identifying key price levels and executing trades accordingly. Below, we delve into the recommended settings, strategy, and features of this powerful EA.

Recommended Settings

• Minimum Deposit: $100
• Timeframe: M15 (15-minute chart)
• Currency Pair: USDJPY (US Dollar vs. Japanese Yen)

Key Features

1. Breakout Strategy:
   • The EA identifies significant support and resistance levels.
   • When price breaks above a resistance level or below a support level, the EA triggers a trade.
   • It uses dynamic stop-loss and take-profit levels to manage risk and maximize gains.
2. Entry Rules:
   • Long Trades (Buy):
     • If the price breaks above resistance, the EA opens a long position.
     • Stop-loss is set below the breakout level.
     • Take-profit is set at a predefined distance from the entry point.
   • Short Trades (Sell):
     • If the price breaks below support, the EA opens a short position.
     • Stop-loss is set above the breakout level.
     • Take-profit is set similarly.
3. Risk Management:
   • The EA calculates position size based on the account balance and risk percentage.
   • It dynamically adjusts stop-loss and take-profit levels as the trade progresses.
4. Time Filter:
   • The EA avoids trading during certain hours (e.g., low liquidity or news releases).
   • Customizable time filters can be set to optimize performance.
5. Volatility Filter:
   • The EA adapts to market volatility.
   • It avoids trading during excessively volatile periods.

Strategy

1. Breakout Detection:
   • The EA scans historical price data to identify key levels (support and resistance).
   • It monitors price action in real-time.
   • When a breakout occurs, the EA confirms it using candlestick patterns or other technical criteria.
2. Confirmation and Entry:
   • Once a breakout is confirmed, the EA enters the trade.
   • It waits for a pullback (retest) to the breakout level before entering.
   • This minimizes false breakouts and enhances the probability of success.
3. Dynamic Stop-Loss and Take-Profit:
   • The EA calculates stop-loss and take-profit levels dynamically.
   • Stop-loss is adjusted based on volatility and recent price movement.
   • Take-profit aims for a favorable risk-to-reward ratio.
4. Monitoring and Exit:
   • The EA continuously monitors the trade.
   • It may trail the stop-loss to lock in profits.
   • Take-profit is hit when price reaches the predetermined level.