The two by two is a grid that can survive much bigger trends compared to the expanding grid and fixed grid. The similarity with the expanding grid is that it has the same expanding formula, but the difference is that it only tries to close the first and the last positions in profit. It is using some common sense logic to open the first position, so it may not appear imidiately.
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*Subscribers can use the EA in any broker
So for example you can have 10 positions: the first one with 0.01 and the last with 0.1. Then if there is a situation where the sum of the profits of the first and last exceeds the required profit, then the system will close the first and the last position. So let's say we had some movement and we don't enter a deep correction, but just something similar to a range. Then the last position will open and close with the first, which will not only add profit but also improve our entry price.
As you can see from the picture the first and the 5th position (with the yellow line) close without any signifficant correction, which improves the average price for the whole exposition.
Parameters and explanation
SystemMagicNumber=1000
-When th expert advisor is placing a trade it is puting this unique number in it, so when there is a need to check what is going on with the opened positions it can recognize which are his positions and deal only with them. It is important that all the expert advisors are using different magic numbers. The trades made manually are with MagicNumber 0.
Distance=20
This is the distance in points between the positions and is using the same formula as the expanding grid distance +NumberOfTrades*distance
StartLot=0.01
Starting lot of the system
FirstTradeTakeProfit=5
If you have only one position and it goes in profit with that points it will close that profit.
MaxSpread=10
This is a protective parameter, not to open position when the spread is too big.
MaxPositions=20
When this number of buy or sell positions is reached , the system will stop opening new trades.
TwoTradesTakeProfit=5
This is the profit wich the robot will wait to appear to close the first and last orders.
EnableBuyPositions
If true it will open buy positions , if false it will not.
EnableSellPositions
If true it will open buy positions , if false it will not.
There may be a situation when you know the global trend direction, so you can switch off the oposite trades.
LotsIncrement
This parameter is used in the formula of the lots for the next positions.It is StartingLot+ StartingLot*LotsIncrement *TotalTrades.
Related: Grid trading strategy EA's